Top 5 VA Loan Myths (Busted!) — What Madison Area Veterans Need to Know
Top 5 VA Loan Myths (Busted!) — What Madison Area Veterans Need to Know
If you're a veteran, active-duty service member, or military family thinking about buying a home in Madison, Waunakee, or anywhere in Dane County, you've probably heard a few things about VA loans. Unfortunately, many of those things simply aren't true!
Coming from John Reuter, a retired Air Force veteran who has helped over 200 veterans buy and sell homes, we know a thing or two about what's fact and what's not. VA loans are an incredible benefit earned through service, but there's a lot of confusion around how they actually work. Today, we're busting the top 5 VA loan myths so you can buy your dream home with confidence.
Myth #1: You Can Only Use Your VA Loan Once
Many veterans believe it's a "one-and-done" deal — but that's not true. As long as you restore your entitlement (often by selling or refinancing your previous home), you can reuse your VA loan benefit over and over. Even if you've defaulted on a previous VA loan, you may still have some entitlement left to use.
Myth #2: VA Loans Take Forever to Close
Many lenders in South Central Wisconsin have streamlined VA loan processes. As long as you have your paperwork ready and work with an experienced team, a VA loan can often close in 30 days or less — just like other types of mortgages.
Myth #3: You Need Perfect Credit to Qualify
While higher scores can help you get better terms, VA loans were designed to make homeownership more accessible for veterans — even those rebuilding their credit. Many lenders can approve VA loans with credit scores starting in the low-to-mid 600s, and sometimes even lower.
Myth #4: You Can't Buy a Nice Home with a VA Loan
Homes in Madison, Sun Prairie, DeForest, and Waunakee can all qualify. Your VA loan can even help you purchase in many of the area's most desirable neighborhoods.
Myth #5: VA Loans Are More Expensive Because of the Funding Fee
Plus, if you have a service-connected disability, the VA funding fee may be waived entirely. Even when the fee applies, the overall cost of a VA loan is usually lower than other types of mortgages.