In short
A VA construction loan lets eligible veterans and service members finance building a new primary home, usually with a one-time close. With full entitlement there's no down payment and no monthly mortgage insurance. Waymaker funds VA loans in house, with a 580 minimum credit score (the VA itself sets none).
Reviewed by Scottie Campbell, NMLS #1610726 · Last updated October 18, 2026
Can I use my VA loan to build a house?
Yes. A VA construction loan lets eligible veterans and service members finance the land and construction of a new primary home, usually through a one-time close. With full entitlement there's no down payment and no monthly mortgage insurance. The VA sets no minimum credit score, but investors set a floor, and at Waymaker that floor is 580. Your builder is paid in inspected draws, and the loan becomes a regular VA mortgage when the home is complete.
Key takeaways
You earned your VA home loan benefit, and it can do more than buy an existing house. With a VA construction loan, eligible veterans and service members can build a new primary home with no down payment, all in one loan with one closing. I'm Scottie Campbell, founder of Waymaker Mortgage Company. We fund VA loans in house, and I'll walk you through every step from Certificate of Eligibility to move-in day.
You Earned This Benefit. You Can Build With It.
Most veterans know the VA home loan can buy an existing house with no down payment. Far fewer know it can also build one. A VA construction loan, usually set up as a one-time close, uses your VA benefit to finance the land and the construction of a new primary home, then rolls into a regular VA mortgage when the house is done.
Quite frankly, a lot of lenders don't offer VA construction at all. Some will tell you it can't be done. It's never a no. It's always a how.
Funded In House, Under Waymaker's Name
Waymaker Mortgage Company originates and funds VA loans in house, in our own name, with underwriting through multiple investor partners. What that means for you is that your file isn't stuck with one underwriting desk and one set of rules the way it is at most banks. If one investor's VA construction guidelines don't fit your build, I take your file to one that does.
The Credit Picture
The VA itself doesn't set a minimum credit score. Investors who fund VA construction set a floor, and with Waymaker Mortgage Company that floor is 580.
If you're at 580 or above, we can start planning your build. If you're not there yet, I'll never make you feel judged about it. Service, deployments, transitions and family life can all leave marks on a credit report. I'll put together a Mortgage Action Plan showing exactly what to work on, and in the meantime we can look at whether a standard VA purchase fits now. Can't do it now doesn't mean can't do it ever.
What Makes VA Construction Different
| Feature | VA construction |
|---|---|
| Minimum credit score | 580 (lender floor; VA sets no minimum) |
| Down payment | 0% for eligible veterans with full entitlement |
| Monthly mortgage insurance | None |
| VA funding fee | Applies unless exempt; can usually be financed into the loan |
| Occupancy | Primary residence |
| Closings | Typically one, before construction begins |
No down payment. With full entitlement, you can finance the land and construction without a down payment, as long as the finished home appraises for the loan amount.
No monthly mortgage insurance. Unlike FHA or low-down-payment conventional loans, VA loans don't carry monthly mortgage insurance.
The funding fee. Most VA borrowers pay a one-time funding fee, which can usually be rolled into the loan. Veterans receiving VA disability compensation are generally exempt. I'll confirm your status from your Certificate of Eligibility.
What You'll Need
- Certificate of Eligibility (COE). This confirms your entitlement. I can usually pull it for you.
- A qualified builder. Your builder needs to be licensed, insured and approved for VA construction lending. VA new construction typically also requires the builder to be registered with the VA, so we check that first.
- Plans, specs and a written contract. A fixed-price contract with complete specifications helps the appraisal and the draw schedule go smoothly.
- A VA appraisal based on the plans. The appraiser values the home as it will be when finished.
- Land details. If you already own your lot, bring the deed and any payoff. In many cases land you own can be paid off or used toward the project.
How the Build Works
At a single closing, the land, construction budget and permanent VA loan are all set up. During construction, your builder requests draws as each stage is completed, an inspector verifies the work and funds are released. When the home passes final inspection, the loan becomes your permanent VA mortgage. No second application, no second closing.
About rates: Your rate depends on your scenario and the day's market. Reach out and I'll price it for real.
Is a VA Build the Right Move for You?
My job is to educate and empower you. Your job is to decide. Sometimes a VA build is a fantastic fit; sometimes buying a new home that's already under construction gets you to the same place faster. With a Total Cost Analysis, I'll lay out the full cost of building versus buying over the time you plan to own the home, so you're comparing apples to apples.
Let's Talk About Your Build
Our mission is helping ordinary people live extraordinary lives, and few people have earned that more than those who served. If you're thinking about building near Georgetown, TX with your VA benefit, feel free to text me. You're talking to the owner of this company, and I'm here to serve.
Information on this page is general and educational. It is not a commitment to lend or an offer of credit. Programs, guidelines and eligibility change and depend on your full scenario. Waymaker Mortgage Company, NMLS 2440476. Equal Housing Lender.
Quick facts
- Minimum credit score
- 580 (VA sets no minimum; lender floor)
- Down payment
- 0% with full entitlement
- Monthly mortgage insurance
- None
- Funding
- Originated and funded in house by Waymaker
- Closings
- Typically one, before construction
- Occupancy
- Primary residence
Is this loan right for you?
Who it's for
- Eligible veterans, active-duty service members and qualifying surviving spouses
- Veterans with credit scores of 580 and up who want to build instead of buy
- Military families who own land and want to build on it
- Veterans exempt from the funding fee because of VA disability compensation
Who it may not fit
- Anyone building a second home or investment property (VA is for a primary residence)
- Veterans who want to be their own general contractor
Pros and cons
Pros
- 0% down with full entitlement
- No monthly mortgage insurance
- One closing covers land, construction and the permanent mortgage
- Funded in house by Waymaker, with multiple investors for underwriting
- Funding fee is waived for veterans receiving VA disability compensation
Trade-offs to weigh
- Builder must be approved and typically registered with the VA, which can limit choices
- VA funding fee applies unless you're exempt
- Fewer lenders offer VA construction, so the process takes more planning
Frequently asked questions
What credit score do I need for a VA construction loan?
The VA doesn't set a minimum score, but the investors who fund VA construction do. With Waymaker, the minimum is 580. If you're below that, I'll build you a Mortgage Action Plan and we can also see whether a standard VA purchase works in the meantime.
Do I really need no money down to build with VA?
With full entitlement, VA construction can finance the land and construction with no down payment, as long as the finished home appraises for the loan amount. You may still have some costs, such as earnest money or items outside the approved budget, and we'll map those out up front.
Does Waymaker actually fund VA construction loans?
Yes. Waymaker originates and funds VA loans in house, in its own name, with underwriting through multiple investor partners. If one investor's VA construction guidelines don't fit your build, I take your file to one that does.
Does my builder have to be VA approved?
Your builder needs to be licensed, insured and approved for VA construction lending, and VA new construction typically requires the builder to be registered with the VA. If your builder isn't set up yet, we'll check what's needed early so it doesn't slow down your closing.
Do I have to pay the VA funding fee?
Most VA borrowers pay a one-time funding fee, which can usually be financed into the loan. Veterans receiving VA disability compensation are generally exempt. I'll confirm your status from your Certificate of Eligibility.
What rate will I get on a VA construction loan?
Your rate depends on your scenario and the day's market. Reach out and I'll price it for real.
Related loan programs
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No monthly mortgage insurance, no minimum credit score on my end, and VA loans funded in house by Waymaker Mortgage Company with underwriting through multiple investors.
Last updated October 18, 2026 · Reviewed by Scottie Campbell, NMLS #1610726. This page is educational and not a commitment to lend; program details change — ask for current figures.