Key Differences of VA Loans vs Conventional Loans


In Ann Arbor, and around the country, our service personnel and veterans give so much to our country. While they sacrifice much, there are a few special benefits that only these service men and women can take advantage of; one of the best benefits is the VA Loan.

The VA Loan differs from a Conventional Loan in a number of ways. While both provide great interest rates for borrowers and are both backed by US Government guarantee programs, this is where the similarities end.

Key Differences/Advantages of the VA Loan

  • 0% Down Options – VA Loans offer the option of a 0% down payment vs conventional loans which need 10-20% minimum down payment.
  • No Private Mortgage Insurance Required 
  • More Lenient Credit Qualifications – FICA scores are used for both conventional and VA Loans, but VA Loans consider a lower threshold for loans while still offering favorable interest rates.
  • Can Be Used More than Once – VA Loan borrowers can regain their eligibility for a VA Loan without giving up their first loan. In other words, if a service member wishes/needs to rent out their current home to move, they can regain their eligibility and use the VA Loan Programs again.

VA Loans is a great benefit for our service men and women who give so much to their country. For a complementary list of local lenders who offer VA Loans, please contact me or send me a message via the question box to the right of this article. You can also visit for more information about VA Loans.