VIENNA, Va.–There are widespread misconceptions on the benefits and features of VA home loans among servicemembers and veterans, according to a new Spotlight on VA Loans from Navy Federal Credit Union.
The report is based on a nationwide survey of over 1,000 military respondents and underscores the need for improved education and outreach around homeownership, according to Navy Federal
Key Findings
Navy FCU said key findings in the report include:
- High Awareness, Low Understanding: “While 92% of respondents are aware of VA loans, nearly half did not know that VA loans typically offer low interest rates, and 55% mistakenly believed a down payment is required. In reality, VA loans allow buyers to finance up to 100% of the home’s sale price and often feature interest rates 0.25% lower than conventional loans.”
- Information Gaps: “Only 39% of respondents said they turn to official VA or military resources for information. Others rely on personal research (20%) or family members (9%), leading to confusion and persistent myths. On average, eligible borrowers held more than two misconceptions about VA loans,” Navy FCU reported.
- High Satisfaction Among Users: Despite knowledge gaps, 92% of those who used a VA loan reported satisfaction with the process, and 91% would recommend VA loans to their peers, the report found.
- Role of Realtors: According to navy FCVU, while most military homebuyers feel realtors are knowledgeable about VA loans, more than one in four believe it’s difficult to find a Realtor who truly understands the unique needs of military families.
‘Crucial Benefits’
“For Active Duty servicemembers, veterans, and their families, VA loans can provide crucial benefits on the journey to homeownership,” AVP-Residential Lending Christopher Davis said in a statement. “At Navy Federal, we believe every military family deserves the opportunity to own a home without unnecessary barriers or confusion.”
Trained Agents Available
Navy Federal added that is offers a RealtyPlus® program through which it can connect with specially trained agents who understand military relocation and VA loan benefits. Navy Federal said it also offers Agent Continuing Education (CE) to ensure real estate professionals are equipped to serve military families with expertise and care.
