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Why the VA Loan is good for Sellers too

Ever heard of a VA Loan? If you are (or ever have been) part of the military it may likely be a familiar term. It has become a very popular loan option specifically for those in the military interested in purchasing a home.

VA Loan Benefits for Seller

While there are many benefits to this loan as a buyer there are also misconceptions, especially when it comes to those selling a home. One such misconception is that for a seller, it's more of a headache than it's worth to work with a VA Loan buyer. In reality, the VA Loan can benefit sellers as well.

First, what is a VA Loan and who qualifies?

Also known as the Veterans Affairs mortgage this type of loan is provided through the government. The VA loan is a mortgage loan offered by private lenders such as banks, savings and loans, and mortgage companies. These loans are then backed by the Department of Veterans Affairs (VA), who guarantees a portion of the loan against loss so that the lender can offer you better terms.

Although the VA Loan has been in place since 1944 it has recently had a surge in popularity within the last few years. Because this loan is guaranteed by the government it works slightly different than a traditional loan but still achieves the same result, homeownership.

Typically, eligible members include:

  • Active Duty Military
  • U.S. Veterans
  • Reserve Members
  • National Guard Members
  • Select Spouses

You can find more details on how the VA Loan works when buying a home in our article Buying a Home While Serving in the Military.

VA Loan Benefits for Seller

Great, so how does it help me as a seller?

Many hold the misconception that working with a potential buyer who is using a VA Loan can be a complicated process. And as a seller you may choose not to consider a buyer using this type of loan. While there are nuances (as any loan has) there is nothing that should deter a seller from working with a VA Loan buyer. In fact, there are actually benefits that you can feel good about!

Common misconceptions:

  • The turnaround time for VA Loans is long and drawn out
  • Concerns with the borrower (buyer) qualifications
  • High closing costs that fall on the seller
  • Overly strict appraisals and long waiting period


  • Most VA Loans close in 30-45 days, averaging the same as traditional loans
  • VA Loan borrowers are required to meet many requirements including credit/debit checks and income guidelines; There is a limit on the closing costs that the buyer is not allowed to pay and many sellers will cover the cost difference, however, it's not required
  • Appraisals are not skewed specifically for VA Loans although this type of loan is not designed for homes that need a total renovation or extensive repairs (there are other loans to consider if that's the case) and appraisals are typically returned within 10 days

Benefits for the seller:

  • By considering VA Loan buyers, you're tapping into an additional pool of potential buyers, so why not? And remember, you aren't required to accept an offer that you don't wish to.
  • Many active military buyers have a short timeline for finding a new home and moving in so the sale of your home could move very quickly.
  • By considering a VA Loan buyer you're helping support those that have served/are serving our country and giving them a chance at homeownership.

VA Loan Benefits for Seller

It's normal to shy away from the unfamiliar especially when it comes to a huge purchase or sale, such as a home. By simply taking some time to better understand the loan options that buyers may be using you can feel more comfortable as a seller. After all, the best scenario is that you sell your home quickly while providing someone else homeownership. Now that's a win-win!

Want more advice about all things home — including homebuying or selling advice? Nestiny is a great place for homebuyer education and to help you gauge how ready you are to buy a home. Journey Homeward allows you to enter all your wants and needs while the True Affordability Tool will break down your budget, showing what you can comfortably afford. You will also receive a Ready Report that will give you a vital head start in the home buying journey, saving you valuable time and money.

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