Yes — if you’re a veteran or active-duty service member, you can buy a home in Utah right now with zero down payment. With full entitlement, the VA sets no maximum loan amount, and the VA home loan remains the best mortgage deal in the country for the people who earned it. That matters because Utah is one of the 10 most expensive states for single-family homes in the nation (Kem C. Gardner Policy Institute). But “zero down” gets misunderstood constantly — by veterans, by agents, and by half the internet. Here’s what you actually need to qualify, what it actually costs, and the three mistakes I watch veterans make every single month.

Here’s the short version before we go deep:

1. Who qualifies — 90 days of wartime active duty, 181 days of peacetime active duty, 6 years in the Guard or Reserves, or a surviving spouse.
2. How $0 down works — the VA guarantees up to 25% of your loan, so the lender’s cushion is the government, not your savings.
3. The funding fee — 2.15% on first use at zero down, financed into the loan, and $0 for veterans rated 10%+ disabled.
4. Credit — the VA sets no minimum score; lenders add overlays, but most want to see around 620.
5. No loan limit — with full entitlement, there is no VA maximum; the $832,750 conforming limit only matters with partial entitlement.
6. What $0 down does NOT cover — closing costs and earnest money remain, though seller concessions can cover most of them.
7. The 3 mistakes — credit self-disqualification, unpaid entitlement restoration, and out-of-pocket funding fee assumptions.
8. The bottom line — zero down, no PMI, no VA cap, and a $0 fee for disabled veterans.

1. Who qualifies for a VA loan?

You qualify with 90 days of wartime active duty, 181 days of peacetime active duty, 6 years in the Guard or Reserves, or as a surviving spouse of a service member who died in the line of duty or from a service-connected disability. That’s the eligibility test for a VA-backed purchase loan — and it determines whether you can get a Certificate of Eligibility, not whether a lender will fund you.

Here’s the distinction most people blur: the VA establishes your eligibility to use the benefit, but final loan approval sits with your lender’s underwriting — credit, income, debt, and the property itself. The VA itself sets no minimum credit score; individual lenders add their own requirements on top of the VA’s guidelines. So meeting VA eligibility and getting a lender’s green light are two different gates.

The first reason people miss out on this benefit is they assume they don’t qualify. The VA proves your eligibility with a Certificate of Eligibility (COE), which is the official document confirming you’ve met the service requirements. Most veterans don’t realize that a lender can usually verify this for you in less than five minutes.

You don’t need to wrestle with the VA’s website yourself — whether you’re stationed at Hill Air Force Base, transitioning out of Dugway Proving Ground, or moving back home after years away, I’m here to handle the paperwork for you.

2. How does $0 down actually work?

On a conventional loan, your down payment is the lender’s cushion — if things go sideways, that equity protects them. With a VA loan, the Department of Veterans Affairs guarantees up to 25% of the loan to the lender. That guarantee is the cushion, which is why the lender doesn’t need your down payment. You’re not getting something for nothing — your service already paid for it.

The second reason this loan is unbeatable: no monthly mortgage insurance. Ever. On a conventional loan with less than 20% down, PMI bleeds you every month and does nothing for you. VA loans skip PMI entirely. Instead, there’s a one-time funding fee — and this is the part nobody explains correctly.

3. What is the VA funding fee in 2026?

Here’s the exact math, because this is where veterans get confused. The funding fee is a percentage of your loan amount, and it depends on whether it’s your first VA loan, how much you put down, and your disability status.

Situation	Funding fee (% of loan)	On a $400,000 home
First VA loan, $0 down	2.15%	$8,600
Subsequent use, $0 down	3.30%	$13,200
5% down payment	1.50%	$6,000
10% down payment	1.25%	$5,000
10%+ VA disability rating	$0 — fully exempt	$0

Three things change the whole picture:

1. You don’t write a check for it. The funding fee is financed into the loan.
2. Disabled veterans are exempt. A VA disability rating of 10% or higher wipes the fee out completely.
3. Second-time users pay more — 3.30% instead of 2.15% at zero down. That’s a $4,600 difference on a $400,000 home, which is exactly why restoring your entitlement after selling a VA-financed home matters.

Most of my Utah buyers put nothing down and roll the fee into the loan.

This matters more in Utah than almost anywhere else right now. Utah remains one of the 10 most expensive states for single-family homes in the country, and the median price across all housing types rose from $500,000 in the first quarter of 2025 to $520,000 in the first quarter of 2026. The estimated income needed to buy a median-priced home with a 10% down payment hit $147,000 in 2026 (Kem C. Gardner Policy Institute). For most families, scraping together a 20% down payment on a half-million-dollar house is the single hardest barrier — and it’s the one this loan removes entirely.

4. Does the VA have a minimum credit score?

No. The VA sets no minimum credit score — that’s the program rule, full stop. But the VA writes the guidelines, and lenders add the overlays. Most lenders want to see around 620, though some work comfortably lower. Here’s the difference that matters: a decline from one lender is not a decline from all of them.

If one shop turns you down, that tells you about that shop’s risk appetite, not about your VA eligibility. Another lender — especially one that does VA loans every single week — may take your file further, using compensating factors like strong residual income and a solid debt-to-income ratio. Call before you disqualify yourself. I’ve taken buyers from the low 500s to the closing table, sometimes with a rapid rescore, sometimes with a few months of cleanup.

The VA also weighs your residual income — the money left over after all your bills are paid — which is a fairer test than a FICO score alone. Don’t let a number on a screen make your housing decision. Let a human being look at the full picture.

5. Is there a VA loan limit?

Here’s one even loan officers get wrong: with full entitlement, the VA sets no maximum loan amount. You could buy a $2.5 million home with $0 down. The lender still has to approve the loan, but the VA won’t cap you.

With full entitlement, the VA does not cap your loan amount — but that doesn’t mean anything goes. Qualification and appraisal still apply: the home must appraise at or near the purchase price, and you still have to meet your lender’s underwriting. No VA-imposed limit, but no free pass either.

The $832,750 conforming loan limit (2026, single-family) only matters if you have partial entitlement — meaning you used a VA loan before and never restored it. In that case the VA’s guaranty is capped against that limit, and above it you’d owe 25% down on the difference.

Here’s the part that surprises most veterans: remaining (second-tier) entitlement can let you buy another home while you still own your current VA-financed property — potentially with zero down. The VA home loan is a lifetime benefit, not a one-time deal. As long as you intend to occupy the new home and meet your lender’s underwriting, you can hold two VA loans at once. The catch: you need enough remaining entitlement to back 25% of the new loan, and your lender may require a down payment depending on the loan amount. Restore your entitlement when you sell and the limit never touches you.

6. What does $0 down NOT cover?

Straight talk, because no-BS is the whole brand: zero down does not mean zero dollars to close. You’ll still have earnest money — typically 1–3%, and it comes back to you at closing — plus closing costs, prepaids, and insurance. The down payment is gone; the other moving parts are not.

Here’s the distinction that trips buyers up: seller-paid closing costs and seller concessions are different things. Sellers can offer credits to cover some or all of your closing costs — and seller concessions are capped at no more than 4% of the home’s reasonable value. Between seller concessions, lender credits, and a financed funding fee, plenty of my buyers walk into closing with almost nothing out of pocket.

The down payment — the part that stops most people cold — is gone. That’s the barrier this loan removes, and it’s the single biggest reason a VA purchase beats a conventional one for most of my Utah clients.

7. The 3 mistakes I see veterans make every month

1. Assuming their credit disqualifies them. It usually doesn’t. Call first.
2. Not restoring their entitlement after selling a VA-financed home. That’s the difference between a 2.15% fee and a 3.30% fee — thousands of dollars left on the table.
3. Thinking the funding fee comes out of pocket. It’s financed into the loan. And if you’re rated 10%+ disabled, it doesn’t exist at all.

These aren’t theory. If you’re PCSing into Hill Air Force Base, Dugway, or the Salt Lake Valley and trying to decide whether to buy or rent, the same math applies: zero down, no PMI, no VA cap, and a funding fee that disappears if you have a disability rating.

8. The bottom line

Yes — with full entitlement, you can buy in Utah with $0 down at any price a lender approves. No VA maximum, no PMI, ever. The funding fee is 2.15% on first use (financed, not out of pocket), and $0 for veterans rated 10%+ disabled. The VA has no minimum credit score. The down payment is not the thing standing between you and a house.

If you’re a veteran, active-duty, or PCSing to Utah and wondering whether to buy or rent — let’s look at your actual numbers before you decide anything.

Can I use my VA loan benefit more than once?

Yes. The VA home loan is a lifetime benefit, not a one-time deal. If you have enough remaining entitlement — or the VA restores entitlement you used on a previous home — and you meet your lender’s requirements, you can use the benefit again, even while you still have another VA-backed home loan.

Can I buy another home while keeping my existing VA-financed property?

Often, yes. Remaining (second-tier) entitlement can support a second VA loan while you keep your current home — potentially with zero down. The home must appraise at value, you must intend to occupy it, and you must meet your lender’s underwriting.

Do I need a 620 credit score for a VA loan?

The VA sets no minimum credit score. Individual lenders add their own overlays, and most want to see around 620 — but a decline from one lender is not a decline from all of them. Some lenders work lower, using compensating factors like strong residual income.

Can I purchase a Utah home with zero down and minimal cash to close?

Yes — with full entitlement, you can buy with $0 down. Closing costs, prepaids, and insurance still apply, but seller concessions (capped at 4% of reasonable value), lender credits, and a financed funding fee can cover most of what you’d otherwise bring out of pocket.

Ready to see your actual numbers? Call or text me at 801-638-0507, or head to mortgage-rebel.com. I’m Kris Matyas — Utah mortgage broker, Army veteran, and I do VA loans every single week. Let’s find out what you qualify for before you decide anything.

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About the Author

Kris Matyas, the Mortgage Rebel — U.S. Army veteran, Utah mortgage broker with Barrett Financial Group, helping Utah’s veterans and military families get into homes with straight answers and no BS. Call or text 801-638-0507 or visit mortgage-rebel.com.

NMLS #864775 · Licensed in Utah only · Equal Housing Opportunity. Figures current as of October 2026; program terms subject to change.