Week 6, Day 37

VA Loans vs Conventional Loans: Nevada Comparison Chart

Deciding between a VA loan and conventional loan for your Nevada home? Compare side-by-side benefits, requirements, costs, and which option saves you the most money in Las Vegas, Reno, and Henderson.

COMPARE Word Created from Concrete Alphabet Letters on Wooden Desk.
0%
down payment required for VA loans vs 3-20% conventional

Side-by-Side Comparison: VA vs Conventional

Key differences that impact your monthly payment, upfront costs, and long-term savings in Nevada.

Feature VA Loan Conventional Loan
Down Payment
0%
No down payment required
3-20%
Typically 5-20% required
Mortgage Insurance
None
No monthly PMI
Required
PMI if under 20% down
Funding/Origination Fee
2.15-3.3%
One-time VA funding fee
0-1%
Lower origination fees
Minimum Credit Score
580-620
Lender discretion
620-680
Higher for best rates
Interest Rates
Typically Lower
Government-backed advantage
Competitive
Varies by credit/down payment
Debt-to-Income Ratio
Up to 50-55%
More flexible
43-50%
Stricter guidelines
Property Types
Limited
Primary residence only, up to 4 units
Flexible
Primary, second homes, investment
Loan Limits (Nevada)
No Limit
With full entitlement
$806,500
Clark County 2025
Reusability
Lifetime Benefit
Use multiple times
Standard
Not a special benefit
Closing Costs
Lower
Seller can pay up to 4%
Standard
Seller can pay up to 3-6%
Eligibility
Veterans Only
Must meet service requirements
Anyone
No service requirement

When to Choose VA vs Conventional

Understanding which loan best fits your situation helps you maximize your Nevada homebuying power

Choose VA Loan If:

  • You're eligible for VA benefits

    Active duty, veteran, reservist, or surviving spouse

  • You have little to no down payment saved

    0% down means you can buy now in Nevada's competitive market

  • Your credit is fair (580-660)

    VA loans are more forgiving than conventional requirements

  • You want to avoid PMI forever

    No monthly mortgage insurance saves $100-300/month in Nevada

  • You're buying under $766,550

    2025 VA loan limit covers most Nevada homes

  • You plan to live in the home

    VA requires owner occupancy (primary residence)

Check My VA Eligibility

Choose Conventional If:

  • You're not eligible for VA benefits

    Civilian homebuyers use conventional loans

  • You have 5-20% down payment saved

    Larger down payment = lower monthly payment & better rates

  • Your credit score is 680+

    Strong credit unlocks the best conventional rates

  • You're buying a luxury home over $766,550

    Jumbo conventional loans handle Nevada's high-end market

  • You're buying an investment property

    Conventional allows non-owner-occupied purchases

  • You want flexibility in property types

    Condos, co-ops, and unique properties often easier with conventional

Explore Conventional Options
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Real Nevada Scenarios: Which Loan Wins?

See how VA and conventional loans stack up in actual Nevada homebuying situations

Scenario 1: First-Time Veteran in Las Vegas

Home Price: $425,000 | Credit: 620 | Down Payment: $0

VA Loan

Monthly: $2,847

Funding Fee: $8,925

Total Upfront: ~$8,925

Conventional

Monthly: $3,186

Down Payment: $21,250 (5%)

Total Upfront: ~$21,250

Winner: VA saves $12,325 upfront + $339/month

Scenario 2: Civilian with 20% Down in Henderson

Home Price: $550,000 | Credit: 740 | Down Payment: $110,000

VA Loan (if eligible)

Monthly: $3,686

Down: $0 needed

Rate: 6.75%

Conventional

Monthly: $3,512

No PMI with 20% down

Rate: 6.25%

Winner: Conventional saves $174/month with 20% down & excellent credit

Scenario 3: Disabled Veteran in Reno

Home Price: $380,000 | Credit: 660 | Disability: 10%+

VA Loan

Monthly: $2,546

Funding Fee: $0 (exempt)

Total Upfront: ~$0

Conventional

Monthly: $2,837

Down + PMI required

Total Upfront: ~$19,000

Winner: VA saves $19,000 upfront + $291/month (disabled vets save most)

Not sure which loan fits your situation?

Get Personalized Recommendation

Common Myths About VA vs Conventional Loans

Separating fact from fiction to help Nevada veterans and homebuyers make informed decisions

Myth

"VA loans take longer to close than conventional"

Reality

VA loans close in 30-40 days on average, same as conventional. Experienced lenders close VA loans just as fast.

Myth

"Sellers don't accept VA loans because appraisals are too strict"

Reality

85%+ of Nevada sellers accept VA offers. VA appraisals protect you from buying a money pit. Strong pre-approval overcomes stigma.

Myth

"Conventional always has lower rates"

Reality

VA rates are often 0.25-0.5% lower than conventional for the same borrower. Government backing = better rates for veterans.

Myth

"You can only use VA loan once"

Reality

You can use VA benefits multiple times! Entitlement restores when you sell or refinance. Some veterans use it 5+ times over their lifetime.

Myth

"Conventional is better for investment properties"

Reality

True! VA requires owner-occupancy. For Nevada investment properties or vacation homes, conventional is your only option.

Myth

"VA funding fee makes it more expensive"

Reality

Even with funding fee, VA saves money vs conventional with PMI. No ongoing monthly insurance cost = thousands saved over time.

Still Have Questions About VA vs Conventional?

Our Nevada VA loan specialists clear up confusion and show you exactly which loan saves you the most money

Frequently Asked Questions

Nevada veterans and homebuyers ask us these questions every day

More Questions About Your Nevada Home Loan Options?

Our team provides personalized guidance on VA vs conventional based on your unique situation

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