Shirley Mueller’s team handles VA construction loans in Virginia. One team works with you from pre-approval through move-in.
If you're a Veteran or active-duty service member who wants to build in Virginia, here's how the financing works. Our VA construction loan is a one-time close loan that covers construction and your permanent mortgage with no separate closings and no payments during construction.
How does a VA loan work in Virginia?
A VA construction loan is a VA-guaranteed mortgage that pays for your lot (or pays off the land you already own), the construction of your home and your permanent financing, all in one closing. You can borrow up to $1 million with $0 down. Loans over $1 million, up to a $2 million maximum, need 5% down. During the build, your builder is paid in draws as work is completed and inspected. The interest reserve and construction management fee are built into the loan amount and paid by the builder, so you don't make payments while the house goes up. Expect about 2–3 months to close, then a 12-month construction period. After that, the loan converts to a 15- or 30-year fixed VA mortgage.
It works the same way whether you're building in Hampton Roads, Northern Virginia, the Richmond area or the Shenandoah Valley. What changes from region to region is the land, the permitting and the price of building.
Services We Provide
We focus on VA construction financing for Veterans, Active-Duty Service Members and eligible surviving spouses, and we stay with you from application through the day your loan converts.
VA construction loan on land you already own in Virginia
Own a lot in Virginia already? What you still owe on it is paid off at closing, the same loan funds the build, and your equity in the land counts toward the project. Building on land you own.
VA construction-to-permanent loan in Virginia
Your builder draws funds as work passes inspection. When the house is done, the loan rolls into a 15- or 30-year fixed mortgage with no second closing. Construction-to-permanent details.
VA one-time close construction loan in Virginia
A one-time close construction loan simplifies the process. One application and one closing mean less paperwork and one set of closing costs. One-time close details.
Eligibility for A VA Construction Loan in Virginia
To qualify for a VA one-time close construction loan in Virginia, you'll need to meet the service requirements set by the U.S. Department of Veterans Affairs. My team also reviews your credit history, income stability and residual income.
Key eligibility highlights for Virginia include:
- Qualifying service as a Veteran, Active-Duty Service Member, National Guard or Reserve member, or eligible surviving spouse
- Reliable income with enough residual income to cover the new payment
- VA construction loans start at a 620 minimum credit score, and larger loan amounts may need a higher score
- A Certificate of Eligibility (COE) issued by the VA
- A commitment to live in the newly built home as your primary residence
Applying is a soft credit pull and takes about 10 minutes online. My team reviews every application. If you qualify, you'll get a pre-approval letter and a full itemized estimate. If not yet, we'll give you a clear plan forward. Check your eligibility.
Veteran Property Tax Exemption in Virginia
Virginia's property tax exemption for disabled Veterans can work alongside your VA home loan benefit. It's written into the state constitution and can lower the yearly cost of owning the home you build.
Here's what the Virginia exemption offers:
- Veterans with a 100% service-connected, permanent and total disability rating, including those rated 100% permanent and total through individual unemployability, pay no real estate tax on their principal residence
- The exemption covers the home and up to one acre of land, and some localities exempt more land
- There are no age or income limits for this exemption
- A surviving spouse keeps the exemption as long as they don't remarry, and since 2019 they can move to a new home and keep it
- Surviving spouses of service members killed in action may also qualify
- You apply with your local Commissioner of the Revenue
See the Virginia Department of Veterans Services' real estate tax exemption page for current details, or compare states on our property tax exemption by state page.
Why Virginia Works Well for Building a Home with a VA Loan
Virginia has a large military population and a wide range of places to build. Virginia Beach, Norfolk (home to Naval Station Norfolk, the world's largest naval base) and the Richmond area are common choices, and the same loan works for small-town lots and rural acreage.
Virginia's advantages for VA home construction include:
- A wide variety of land, from the coast to the Blue Ridge to the suburbs of Northern Virginia
- Many military installations, including Naval Station Norfolk, Joint Base Langley-Eustis, Marine Corps Base Quantico and Fort Belvoir, and Veteran-friendly communities around them
- State and local support for Veterans, including the disabled Veteran real estate tax exemption
Building in Virginia: Licensed Builders and Local Permits
Virginia requires anyone taking on construction work worth more than $1,000 to hold a contractor license from the Department of Professional and Occupational Regulation (DPOR) Board for Contractors. The license class sets how large a job the contractor can take on. A Class A license covers single contracts of $150,000 or more, Class B covers $30,000 up to $150,000, and Class C covers jobs over $1,000 and under $30,000. Most custom homes need a Class A or Class B builder. My team checks the license during builder approval, before closing.
Building permits and inspections are handled by your city or county building official under the statewide building code. Rural lots in the Piedmont, the Shenandoah Valley and Southwest Virginia often need a private well and septic system approved by the local health department, and mountain lots can add grading and driveway costs.
Are You A Builder Interested In Working with Veterans?
Licensed Virginia builders can apply for approval with my team. The VA no longer requires a builder ID. What we review before closing is your DPOR license, insurance and experience, and every project runs under a fixed-price contract. See builder requirements.
VA Appraisal Requirements in Virginia's Tidewater Region
In Virginia's Tidewater region, the VA appraisal for a one-time close construction loan pays extra attention to flood zones, low-lying lots and coastal rules.
A VA construction appraisal in Tidewater looks at your building plans, location and site conditions to confirm they meet VA Minimum Property Requirements (MPRs) for safety, sanitation and structural integrity. The appraiser also checks that the projected value supports the loan amount and that the home will be suitable for year-round living.
Key VA construction appraisal requirements in Virginia's Tidewater region include:
- Comparable sales come from the local market, so the home should be in line with the neighborhood in size and style
- The plans have to satisfy VA MPRs: a safe, sanitary, structurally sound home
- The lot needs year-round access by a public or approved private road, plus working utilities
- The site must comply with flood zone, coastal and environmental regulations, including any Chesapeake Bay protection rules your locality enforces
- The projected value has to cover the land and construction costs together
My team sends the plans, specifications and contract to the appraiser as one package to avoid back-and-forth.
Virginia VA construction loan FAQs
What is the minimum credit score on a VA Construction Loan?
VA construction loans start at a 620 minimum credit score, and larger loan amounts may need a higher score.
Can I use a VA loan to build a secondary "ADU" in Virginia?
VA construction loans are for your primary residence. An accessory dwelling unit (ADU) may be included if it's built on the same property as your main home, meets VA property requirements and is allowed by local zoning. Talk with my team about your plans before you finalize them.
Can I pay off my existing Virginia land loan with this VA construction loan?
Yes. The land payoff becomes part of the VA construction loan, so there's one closing, as long as the home you build there will be your primary residence.
Which documents are required for land approval?
For land approval, you'll typically need the deed or purchase agreement, a survey or plat, a clear title, and any existing mortgage statement if the land is financed. Zoning confirmation, a septic or well approval, or environmental reports may also be needed depending on the site and local rules.
Do flood zones affect VA construction loans in Virginia?
Yes. Homes built in Special Flood Hazard Areas must carry flood insurance, and the plans have to meet local, state and federal floodplain rules. This comes up often in Hampton Roads and other coastal areas.
Is there any hidden cost included in a VA One-Time Close loan?
No. All fees, closing costs and terms are disclosed up front on your Loan Estimate and Closing Disclosure, as federal law requires. My team also gives you a full itemized estimate when you're pre-approved. See our guide to VA construction loan closing costs.
Does my Virginia builder need a VA ID?
No. The VA no longer issues builder IDs. Your builder needs the right Virginia contractor license and has to be approved by the lender before closing.
How long does a VA appraisal take in Virginia?
Once it's ordered, a VA appraisal in Virginia usually takes about 7 to 14 business days, depending on location and market conditions. Rural or unusual properties can take longer.
What is the VA loan limit for Virginia?
With full VA entitlement, there's no county loan limit. Your loan amount depends on your income, credit and the appraised value, up to a $2 million maximum for construction. That's $0 down up to $1 million and 5% down above that. If you have reduced entitlement because of an existing VA loan, county limits may apply.
Can I build a home in Virginia Beach or Norfolk using a VA loan?
Yes. You can use a VA construction loan to build in Virginia Beach, Norfolk or anywhere in Virginia, as long as you're eligible, the home will be your primary residence, and the project meets local building codes and VA property standards.
Are there special advantages to using a VA construction loan near Norfolk Naval Base?
Mostly practical ones. Building near Naval Station Norfolk or Marine Corps Base Quantico shortens your commute and keeps on-base services close. The financing works the same as anywhere else in Virginia: land and construction in one VA loan.