NewDay USA: Veterans, Service Members Report High VA Loan Satisfaction; Upfront Costs Present Barrier
(Illustration: Ethan/pexels.com)
In a new report, NewDay USA, West Palm Beach, Fla., found strong demand among service members and veterans for homeownership and high satisfaction with the VA home loan benefit.
Affordability remains top of mind for aspiring military homebuyers, NewDay USA’s 2026 Military Homebuyer Readiness Survey noted.
Among respondents who do not own a home, more than two-thirds (68%) said buying a home is a major milestone or one of the most important milestones in their lives. “Homeownership, to me, means finally being able to have something of my own after years of working for the country,” one respondent wrote.
Of those who have used a VA home loan, nearly half (47%) said they would not have been able to buy a home without it, and 98% said they were satisfied with their experience using the VA home loan.
Affordability Remains a Challenge for Aspiring Homebuyers
Among respondents who do not currently own a home, only 7% consider themselves completely ready to buy a home this year, and nearly half–49%–said homeownership feels out of reach. Respondents cited rising home prices (62%), lack of income (55%) and saving for upfront costs (49%) as the biggest barriers, NewDay USA reported.
The VA home loan requires no down payment 40% of respondents said they would be more likely to buy a home if down payment and closing costs were removed. Nearly half–45%–said they do not have enough savings to cover closing costs and 52% carry more than $5,000 in high-interest debt. That figure jumps among active-duty respondents, half of whom said they carry more than $10,000 in debt.
Opportunity to Strengthen Homebuyer Education
Many respondents demonstrated a strong understanding of their benefits, the report said. A majority said they are aware of the VA home loan, and 60% identified that it typically carries a lower interest rate than conventional mortgages. Among service members, 71% know that Basic Allowance for Housing (BAH) can count toward mortgage qualifying income.
At the same time, 55% of respondents held at least one misconception about the VA home loan, including 30% who were not yet aware that the VA home loan requires no down payment.
“Having spent my housing career working to expand responsible access to homeownership at the federal level, I can say that the VA home loan is one of the most effective housing finance tools ever created,” said Brian Montgomery, vice chairman of NewDay USA and former Federal Housing Administration commissioner. “These survey results reinforce that there is a real opportunity to reach more veterans with clear information about what the VA benefit offers. Ensuring every eligible veteran understands this benefit is one of the most impactful things we can do to help military families build long-term financial security.”
NewDay USA conducted on an online survey of 1,238 current and former U.S. service members from Feb. 18 to March 7, 2026 for this report.
