VA home loans · Louisiana
VA home loans in Louisiana
A VA loan lets an eligible buyer purchase with no down payment and no monthly mortgage insurance. The one-time funding fee is 2.15% of the loan for most first-time users, it can be rolled into the loan, and it's waived entirely if you receive VA compensation for a service-connected disability. With full entitlement there is no VA loan limit.
Reviewed by Nicole Gaudet, REALTOR®, U.S. Army veteran
Updated October 3, 2026
Who qualifies
Service that earns the benefit
The VA sets the service minimums. Your lender still checks credit, income and the property.
Active duty
90 continuous days of service.
Veterans, Gulf War era to now
24 continuous months, or the full period you were called to active duty (at least 90 days), or 90 days if you were discharged for a service-connected disability or another qualifying exception.
National Guard
90 days of non-training active-duty Title 10 service, or 6 creditable years with a current or honorable status.
Reserves
90 days of non-training active-duty service, or 6 creditable years in the Selected Reserve with a current or honorable status.
Earlier service eras
Minimums differ by era. Vietnam-era service starts at 90 total days; post-Korean War service required 181 days.
Surviving spouses
Eligible if you receive certain VA Dependency and Indemnity Compensation, or your spouse is an active-duty service member missing in action or a prisoner of war.
Your proof is the Certificate of Eligibility (COE). It shows a lender you qualify. Request it online at VA.gov, or ask your lender to pull it — most do it in minutes — or file VA Form 26-1880.
Source: U.S. Department of Veterans Affairs, VA home loan eligibility and how to request a COE.
What it costs
The funding fee, and who never pays it
There's no monthly mortgage insurance on a VA loan. Instead there's a one-time funding fee, which you can roll into the loan.
| Down payment | First use | Used a VA loan before |
|---|---|---|
| None (0%) | 2.15% | 3.3% |
| 5% or more | 1.5% | 1.5% |
| 10% or more | 1.25% | 1.25% |
On a $300,000 purchase with nothing down, a first-use fee of 2.15% is $6,450. Rolled into the loan, it doesn't come out of pocket at closing. Rates are for purchase and construction loans, effective April 7, 2023.
No funding fee at all if you
- Receive VA compensation for a service-connected disability
- Are eligible for that compensation but receive retirement or active-duty pay instead
- Receive Dependency and Indemnity Compensation as a surviving spouse
- Received a proposed or memorandum rating before closing, through a pre-discharge claim
- Are active duty and provide evidence of a Purple Heart on or before closing
Source: VA, funding fee and closing costs. On a purchase loan, the funding fee is the only cost you can finance; other closing costs are paid at closing or negotiated with the seller.
How much you can borrow
Entitlement, not a price cap
With full entitlement there is no VA loan limit. Your COE shows $36,000 in basic entitlement and no prior loans charged against it. You can buy at any price a lender approves and the appraisal supports.
The VA guarantees the lender up to 25% of the loan amount above $144,000. That guaranty is what replaces a down payment. Most lenders want entitlement, a down payment, or the two together to cover at least 25% of the loan.
Entitlement is reduced while you still have a VA loan outstanding, or if you had a past VA loan default. You can often still buy with what's left, sometimes with a partial down payment. Your COE lists what's been charged.
Source: VA, entitlement and loan limits.
Example: $325,000 home, nothing down
- Purchase price
- $325,000
- Down payment
- $0
- Funding fee, first use at 2.15%
- $6,987.50
- Fee rolled into the loan
- Yes
- Monthly mortgage insurance
- $0
- Loan amount
- $331,987.50
Illustration only. Your rate, taxes, insurance and lender fees decide the payment. If you're exempt from the funding fee, the loan is $325,000.
The property
The VA appraisal
Every VA purchase gets a VA appraisal: an opinion of value plus a check against the VA's Minimum Property Requirements.
Source: VA News, VA updates home loan appraisal requirements.
Locally
What matters in South Louisiana
Straight answers
Three things agents get wrong
The appraisal averages about seven business days. Closings run on the same 30 to 45 day track as any financed purchase.
You can. Only the funding fee can be financed into the loan; the rest is paid at closing or negotiated with the seller, same as any loan.
The benefit is reusable. Using it again at 0% down costs 3.3% instead of 2.15%, and the fee is still waived if you're exempt.
Questions
VA loan questions
Do I need a down payment for a VA loan?
No. With full entitlement you can buy with nothing down, as long as the lender approves you and the appraisal supports the price. Putting 5% or 10% down lowers the funding fee to 1.5% or 1.25%.
U.S. Department of Veterans Affairs
How much is the VA funding fee?
For a purchase with nothing down, 2.15% the first time you use the benefit and 3.3% after that. With 5% down it's 1.5%, and with 10% down it's 1.25%. You can roll it into the loan.
VA funding fee and closing costs, effective April 7, 2023
Who is exempt from the VA funding fee?
Anyone receiving VA compensation for a service-connected disability, anyone eligible for it who takes retirement or active-duty pay instead, surviving spouses receiving Dependency and Indemnity Compensation, borrowers with a proposed or memorandum rating before closing, and active-duty members with evidence of a Purple Heart on or before closing.
VA funding fee and closing costs
Is there a VA loan limit in Louisiana?
Not with full entitlement. The limit comes from what a lender will approve and what the appraisal supports, not from the VA. If you already have a VA loan outstanding or had a past default, your remaining entitlement may cap the loan or require some money down.
VA entitlement and loan limits
Does a VA loan have monthly mortgage insurance?
No. There's no monthly mortgage insurance on a VA loan. That's usually where the payment beats an FHA or low-down-payment conventional loan.
Can I use a VA loan more than once?
Yes. Entitlement is restored when a prior VA loan is paid off and the property is sold. You can sometimes hold two VA loans at once using remaining entitlement, often with a down payment on the second.
VA entitlement and loan limits
How do I get my Certificate of Eligibility?
Request it on VA.gov, have your lender pull it electronically, or mail VA Form 26-1880. Have your DD-214 or a statement of service handy.
VA, how to request a COE
Next step
Buying with your VA benefit?
Nicole is an Army veteran and our team works VA purchases across Baton Rouge, Ascension and South Louisiana. Bring your questions, even the early ones.
Nicole Spellman Group is a real estate team, not a lender or the VA. Loan terms, eligibility and fees come from your lender and the U.S. Department of Veterans Affairs.