Navy Federal Credit Union has released a new report highlighting ongoing misunderstandings about VA home loans among active duty servicemembers and veterans. The Spotlight on VA Loans report is based on a nationwide survey of more than 1,000 military respondents and indicates that, despite high awareness of VA loans, many eligible borrowers lack accurate information about their benefits.
According to the findings, 92% of those surveyed are aware of VA loans, but nearly half did not know these loans often come with lower interest rates compared to conventional mortgages. Additionally, 55% incorrectly believed that a down payment is required for a VA loan. In reality, VA loans allow buyers to finance up to 100% of the home’s sale price and typically offer interest rates that are about 0.25% lower than conventional options.
The survey also found that only 39% of respondents seek information from official VA or military sources. Many rely instead on personal research or advice from family members, which can perpetuate myths and confusion. On average, eligible borrowers held more than two misconceptions about how VA loans work.
Despite these knowledge gaps, satisfaction remains high among those who have used a VA loan: 92% reported being satisfied with the process and 91% would recommend the product to others in the military community.
The report also examined the role of real estate professionals in guiding military families through the home buying process. While most respondents felt realtors were knowledgeable about VA loans, more than one in four said it was difficult to find an agent who truly understands their unique needs.
“For Active Duty servicemembers, Veterans, and their families, VA loans can provide crucial benefits on the journey to homeownership,” said Christopher Davis, assistant vice president of residential lending at Navy Federal. “At Navy Federal, we believe every military family deserves the opportunity to own a home without unnecessary barriers or confusion.”
As one of the top lenders for VA loans, Navy Federal Credit Union offers its members various resources including competitive rates, no down payment options and no requirement for private mortgage insurance (PMI). The credit union provides guidance through its home buying center as well as tools like a mortgage calculator tailored for VA loan estimates.
To address persistent information gaps identified in its research, Navy Federal continues investing in educational programs such as RealtyPlus—which connects members with agents trained in military relocation—and Agent Continuing Education courses designed for real estate professionals working with military families.
“We’re committed not only to educating our members at Navy Federal, but also equipping real estate professionals with the tools and training they need to serve this community with care and expertise,” Davis added. “When our members feel understood and supported, the dream of homeownership becomes a reality—and that’s a mission we’re proud to stand behind.”
The data cited in Spotlight on VA Loans comes from an online survey conducted by Navy Federal Credit Union and Express Insights between May 12 and May 22, 2025. The sample included 1,017 active duty personnel and veterans aged between 18 and 60 years old.
Navy Federal Credit Union serves over 14 million members worldwide as the largest credit union globally. Founded in 1933 for Department of Defense personnel and their families—including Coast Guard staff—its network includes more than 370 branches across multiple countries. More details about membership eligibility or services can be found at navyfederal.org.