VA loans in Harrisonburg offer eligible veterans, including JMU ROTC graduates and National Guard members, the powerful advantage of $0 down on competitive-priced homes ($342,000 median), no mortgage insurance (saving $150-$200/month vs FHA/conventional), and competitive rates—though higher current VA rates (7.62-7.70%) vs conventional (6.28-6.40%) require careful cost-benefit analysis for this $280K-$580K college town market.
This comprehensive guide covers everything Harrisonburg VA buyers need to know: eligibility for JMU ROTC alumni and National Guard members, $0 down advantage ($68,400 savings vs conventional 20%), VA funding fee costs ($7,353 on $342K median—waived for disabled veterans), property requirements for Harrisonburg's varied housing stock, and specific strategies for military buyers navigating competitive pricing where $120,000-$125,000+ income needed even with $0 down.
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| Benefit/Requirement | Details |
|---|---|
| Down Payment | $0 (can finance 100% of purchase price) |
| Mortgage Insurance | None (huge savings vs FHA/conventional) |
| Current Rates | 7.62%-7.70% (30-year fixed) |
| VA Funding Fee | 2.15% first use ($7,353 on $342K median) |
| Loan Limits | No limit in Rockingham County (2025) |
| Credit Score | No official minimum (lenders typically want 620+) |
| Income Needed | $120,000-$125,000+ for median home (despite $0 down) |
| Certificate of Eligibility | Required (obtain from VA) |
$0 down eliminates need to save $11,970 (FHA) or $68,400 (conventional 20%), making competitive-priced Harrisonburg immediately accessible for eligible military buyers. However, higher VA rates mean monthly payment $753 more than conventional 20% down—trade-off is upfront savings vs long-term cost.
Harrisonburg context: No major military base nearby, but some active duty National Guard members, JMU ROTC graduates, or regional assignments may buy in area.
Harrisonburg veteran population: Moderate. Many JMU graduates (including ROTC) return to area after military service. National Guard members and JMU faculty/staff include veterans.
JMU ROTC graduates who completed active duty service and received honorable discharge are eligible for VA loans. Some alumni return to the Harrisonburg area after military service, creating a small but steady VA buyer segment.
James Madison University's ROTC program commissions officers, with alumni who complete military service eligible for VA loans. The area also includes National Guard members and veterans working at JMU and local employers.
Market reality: While not a major military market like Hampton Roads, VA loan options are available and well-supported by local lenders who understand the unique needs of veteran buyers in Harrisonburg's competitive college town housing market.
The biggest advantage:
Harrisonburg impact: Eliminates 3-4 year wait to save down payment. For veterans earning $75K-$100K, this is game-changing—can buy immediately vs renting during savings period.
Not free—VA charges one-time funding fee:
$342,000 Harrisonburg median home:
First use, $0 down: $342,000 × 2.15% = $7,353
Can be financed (added to loan) or paid upfront
Disabled veterans: Funding fee WAIVED (10%+ disability rating)
This saves $7,353 upfront + interest over 30 years. Total savings: ~$13,200 (funding fee + interest avoided)
2025 VA loan rules: No loan limit for veterans with full entitlement, Can borrow up to what income qualifies for, No down payment required regardless of price
Harrisonburg context: Higher-end neighborhoods ($450K-$580K) fully accessible with VA loan if income qualifies. No need to switch to conventional/jumbo for higher-priced homes.
vs Conventional 20% down: Down: $56,000, Payment: $1,678/month, Income needed: $72,000/year. Trade-off: Save $56,000 upfront, pay $621/month more
vs Conventional 20% down: Down: $68,400, Payment: $2,053/month, Income needed: $88,000/year. Trade-off: Save $68,400 upfront, pay $753/month more
vs FHA 3.5% down: Down: $11,970, Payment: $2,556/month (includes MI), Income needed: $109,500/year. VA advantage: $11,970 less upfront, only $250/month more, no lifetime MI
Neighborhoods at this price: Port Republic Road, Stone Spring, North 42
Neighborhoods at this price: High-end neighborhoods near JMU, newer developments
Feasibility: Dual high-earning JMU faculty ($90K-$100K each = $180K-$200K) or senior professionals ($140K+) + spouse ($60K+)
Ready to use your VA benefits? Get pre-approved with VA loan specialists who understand military buyers
| Factor | VA $0 Down | FHA 3.5% | Conv 5% | Conv 20% |
|---|---|---|---|---|
| Down Payment | $0 | $11,970 | $17,100 | $68,400 |
| Funding Fee/UFMIP | $7,353 | $5,775 | $0 | $0 |
| Total Loan | $349,353 | $336,045 | $324,900 | $273,600 |
| Interest Rate | 7.65% | 6.15% | 6.35% | 6.28% |
| P&I Payment | $2,476 | $2,046 | $2,030 | $1,688 |
| MI/PMI | $0 | $150 | $175 | $0 |
| Total Monthly | $2,806 | $2,556 | $2,555 | $2,053 |
| Income Needed | $120,000-$125,000 | $109,500 | $109,500 | $88,000 |
| Cash at Closing | $5,000-$8,000 | $19,000-$23,000 | $25,000-$29,000 | $75,000-$79,000 |
30-year difference: VA costs $202,680 more than conventional 20%, VA costs $78,030 more than FHA
BUT: VA requires $68,400 less upfront than conventional, $11,970 less than FHA
✅ VA makes sense for: Disabled veterans (funding fee waiver changes math entirely), JMU faculty/staff with veteran status (good salary, want cash preservation), Veterans returning to the area (post-service, high income, limited savings), National Guard members (combined income $100K-$140K+)
✅ Conventional makes sense for: JMU faculty with savings (stable income, good credit, down payment ready), Professionals with stock compensation/bonuses for down payment, Anyone prioritizing lowest long-term cost over upfront savings
Explore VA and Conventional options to find the best fit for your situation
If you have 10%+ VA disability rating:
Funding fee: WAIVED
Savings on $342K loan: $7,353 upfront
Disabled veteran on $342K home:
Verdict: If staying 8+ years, conventional still wins long-term. If staying under 8 years or want to preserve $68,400 cash, disabled veteran VA wins.
Beyond funding fee waiver:
Check: Rockingham County Commissioner of Revenue for Virginia disabled veteran property tax relief programs.
VA requires home to be: Safe, sound, and sanitary, Free from defects affecting livability/safety, Adequate for comfortable living
Stricter than conventional, similar to FHA
Must have 2+ years remaining life. Missing shingles, leaks = repair required. Harrisonburg: Many 20-30 year roofs nearing replacement.
Pre-1978 homes = lead-based paint concern. Must be scraped, sealed, repainted.
Shenandoah Valley terrain = potential settling issues. Structural cracks need engineer evaluation.
Rural properties common in Rockingham County. Well water must be tested (potability). Septic must be inspected (functionality).
HVAC must be functional. 20+ year systems often flagged. Harrisonburg winters = heating essential.
Valley water tables. Sump pumps, dehumidifiers common. Active water intrusion = must repair.
VA appraisal: Required by lender, Ordered by lender, paid by buyer ($500-$700), Timeline: 7-14 days typically, Two purposes: (1) Determine value, (2) Verify MPRs met
Harrisonburg VA appraisal challenges: Recent appreciation = some appraisals come in low, Unique properties harder to comp, VA stricter than conventional (flags issues conventional overlooks)
If VA appraisal comes in low: 1. Renegotiate price with seller, 2. Pay difference in cash (though VA is $0 down, can pay gap), 3. Appeal appraisal (if believe it's inaccurate), 4. Walk away (appraisal contingency)
Required before applying:
How to obtain: Online: eBenefits portal (instant for most), Through lender: Lender can request on your behalf, By mail: VA Form 26-1880 (takes 2-4 weeks)
What you need: DD-214 (discharge papers), Service dates, Social Security number
JMU ROTC graduates: Ensure you have DD-214 showing honorable discharge after completing service obligation.
Why critical in Harrisonburg: Competitive market with limited inventory, Sellers skeptical of VA (misconceptions about difficulty), Strong pre-approval overcomes bias
Documents needed: COE (certificate of eligibility), Last 2 years W-2s, tax returns, Last 30 days pay stubs, Last 2 months bank statements, DD-214 (discharge papers)
JMU employment advantage: Stable employment at JMU or local employers = lender confidence. Bring employment verification letter.
Common VA myths to dispel:
Myth 1: "VA appraisals kill deals"
Reality: VA appraisals same as FHA/conventional. Stricter on safety, but reasonable.
Myth 2: "VA buyers can't pay over appraisal"
Reality: VA buyers CAN pay cash for gap (though often choose not to).
Myth 3: "VA loans take forever to close"
Reality: 30-40 days typical (same as conventional).
Your advantage: Have realtor/agent explain your financial strength (high income, stable employment, strong credit). Many sellers prefer VA over FHA despite both being $0/$low down.
Overcome VA stigma:
Home inspection ($400-$600): Always get one (even if VA appraisal passed), VA appraisal checks MPRs (minimum standards), Home inspection more thorough (checks everything)
VA appraisal ($500-$700): If repairs required (MPR violations), negotiate who pays: Seller pays (ideal), You pay (if eager for home, have cash), Split (compromise)
Harrisonburg strategy: Budget $1,000-$3,000 for potential MPR repairs. Valley homes often have minor issues (drainage, foundation settling, basement moisture). Having cash reserves shows seller you can handle it.
If you have existing VA loan and rates drop:
When to IRRRL: Rates drop 0.50%+ below current rate, Want to lower payment without full refinance hassle
If you have equity and want cash:
Requirements: 90% LTV maximum (can cash out up to 90% of value), Current VA loan OR any loan type (can refi conventional to VA), Funding fee: 2.15-3.30% (higher than IRRRL)
Uses: Home improvements (HVAC, roof, additions), Pay off high-interest debt, Investment opportunities, Emergency fund
Problem: Thinking VA $0 down means anyone can afford Harrisonburg
Reality: $342K median still requires $120,000-$125,000 income (despite $0 down), Higher VA rate (7.65%) = $753/month more than conventional 20%, DTI limits still apply (43% max total debt)
Solution: Calculate total payment AND income needed before assuming you qualify. VA removes down payment barrier, not income barrier.
Problem: Using VA $0 down when you have $68,400 saved
Reality: VA: $2,806/month payment, $1,010,160 over 30 years. Conventional 20%: $2,053/month, $807,480 total. Conventional saves $202,680 over life
Solution: If you have down payment saved, run the math. VA's benefit is $0 down—if you have cash, conventional often wins long-term.
Problem: Disabled veteran (10%+ rating) not claiming exemption
Reality: Missing out on $7,353 + ~$13,200 interest savings. $20,553 total left on table
Solution: If you have ANY VA disability rating, check if 10%+. Apply for increase if at 0% but have service-connected conditions. The funding fee waiver is massive.
Problem: Competitive Harrisonburg market, waive inspection to win
Reality: Valley homes = foundation, drainage, radon issues common, 20-40 year old homes = HVAC, roof, systems nearing end of life, $5,000-$20,000 repairs possible after moving in
Solution: Never waive inspection. Instead: (1) Larger earnest money, (2) Quick inspection timeline (3-5 days vs standard 7-10), (3) Pre-inspection before offer (rare but shows seriousness)
Problem: Going with first VA lender (often Veterans United)
Reality: VA rates vary 0.25-0.50% between lenders. 0.25% on $342K = $47/month = $16,920 over 30 years
Solution: Get quotes from 3-5 VA lenders: Veterans United (VA specialist, excellent service), Navy Federal (often best rates if eligible), USAA (if eligible, great service), Local lenders familiar with VA loans
VA loans deliver powerful $0 down access to Harrisonburg's competitive market ($342,000 median), eliminating the $11,970 FHA or $68,400 conventional 20% down barrier that requires 2-4 years of savings for most buyers. With no mortgage insurance (saving $150-$200/month vs FHA/conventional), VA enables immediate homeownership for eligible veterans, including JMU ROTC graduates and National Guard members earning the required $120,000-$125,000+ income.
However, current VA rates (7.62-7.70%) vs conventional (6.28-6.40%) mean $753/month higher payment than conventional 20% down, translating to $202,680 additional cost over 30 years—the trade-off for $68,400 upfront savings. Strategic VA buyers either: (1) lack down payment savings (young veterans, recent graduates), (2) prefer cash preservation (high earners wanting liquidity), or (3) are disabled veterans with funding fee waived (changing economics entirely).
Best for: Disabled veterans (10%+ rating = $20,553 savings), JMU faculty/staff with veteran status prioritizing cash preservation, veterans returning to the area, and any eligible military buyer committed to Harrisonburg long-term (7-10+ years) where appreciation and quality of life outweigh higher financing costs.
Yes, if VA-approved. The condo complex must be on VA's approved list and 50%+ owner-occupied. Harrisonburg condo reality: Limited condo inventory, most near JMU campus = student rentals = often don't meet 50% owner-occupied. Verify VA approval before making offer.
Yes. VA loans require: Primary residence (not investment property), Move in within 60 days of closing, Occupy for at least 12 months. Harrisonburg exception: If you're active military and receive PCS orders before 12 months, requirement waived. Can rent out property.
Yes! Options: Option 1: Full entitlement restored - Sell first VA home, pay off loan, full entitlement restored, can use VA again with 2.15% funding fee (first-time rate). Option 2: Remaining entitlement - Keep first VA home (rent it out after 12 months), use remaining entitlement for second home, funding fee: 3.30% (subsequent use rate), no loan limit restrictions in Rockingham County.
VA protects you: Before closing: Can cancel contract without penalty if receive PCS orders. After closing (under 12 months): 12-month occupancy requirement waived, can rent out property immediately, no penalty. Harrisonburg scenario: Some active duty National Guard members and JMU ROTC graduates may buy in area. VA has you covered.
No, but workaround: Primary residence requirement: Must be primary residence at purchase. After 12+ months: Can convert to rental, rent to students (Harrisonburg strong rental market near JMU), use VA again for new primary residence elsewhere. Harrisonburg rental income: 4BR home near campus: $1,500-$2,800/month, can cover VA mortgage payment + profit.
No—this is a myth. Reality: Timeline: 30-40 days (same as conventional), Requirements: Similar to FHA (property standards), Success rate: High (VA ensures you qualify before approving). Harrisonburg VA closings: Experienced VA lenders (Veterans United, Navy Federal, local lenders familiar with VA) close on time 90%+ of the time. Seller concern: More about perception than reality. Strong pre-approval and education overcome bias.
Get matched with VA lenders specializing in Harrisonburg's competitive market. Compare rates, get pre-approved, and shop with confidence.
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Last updated: December 13, 2025
About Harrisonburg VA Loans: VA loans in Harrisonburg, Virginia offer $0 down financing on the area's competitive-priced homes ($342,000 median, $280,000-$580,000 range) for eligible veterans, including JMU ROTC graduates and National Guard members. With no mortgage insurance and current rates of 7.62-7.70%, VA provides immediate homeownership access but requires $120,000-$125,000+ income for median home despite zero down payment. VA funding fee of 2.15% ($7,353 on $342K) is waived for disabled veterans (10%+ rating), creating significant advantage. While not a major military market, Harrisonburg's veteran population through JMU ROTC and National Guard creates moderate VA loan demand. Rockingham County has no VA loan limits (2025), enabling financing up to borrower's qualified amount for higher-end neighborhoods ($450K-$580K). Market appreciation of 6-7% annually means VA buyers build substantial equity despite higher financing costs.
Market Data Accuracy: Home prices, market statistics, and appreciation rates are based on available data as of December 2025 and are subject to change. Recent appreciation (6-7% annually) may moderate. This website generates leads for mortgage lenders and receives compensation for referrals. Always verify current rates, terms, and requirements with licensed mortgage lenders.
Disclaimer: This guide provides general information about VA loans in Harrisonburg, Virginia as of December 2025. VA loan requirements, rates, and programs change frequently. VA funding fees and eligibility requirements are current as of publication but may be adjusted. This website generates leads for mortgage lenders and receives compensation for referrals. Always verify current VA loan requirements, rates, terms, and eligibility with VA-approved lenders. Property requirements (MPRs) are subject to VA guidelines and local interpretation. Certificate of Eligibility (COE) required before closing.