--- title: "Virginia FHA Loans | Beat VA With DPA Stacking" description: "VA eligible in Virginia? See when FHA still beats VA for down payment assistance stacking, second homes, and entitlement. Call (231) 737-9911 for a free comparison." author: "PierPoint Mortgage" date: "2026-07-20" tags: ["Virginia FHA loans", "FHA Loans"] canonical: "https://pierpointmortgage.com/fha-loans/fha-loans-virginia/" last_updated: "2026-10-21" --- # Virginia FHA Loans | Beat VA With DPA Stacking **By PierPoint Mortgage** | July 20, 2026 VA eligible in Virginia? See when FHA still beats VA for down payment assistance stacking, second homes, and entitlement. Call (231) 737-9911 for a free comparison. --- > **Quick answer:** **Virginia FHA loans matter most to the state’s 725,000-plus active-duty service members and veterans, because nearly every FHA-eligible Virginia buyer also qualifies for a VA loan. FHA still wins when a buyer needs to stack state and local down payment assistance programs, purchase a second property, or preserve VA entitlement for a later PCS move.** FHA LOANS · VIRGINIA · VA-ELIGIBLE BUYERS ★★★★★ 4.9/5 from 152 Reviews● FHA Approved Broker● Licensed in Virginia [Compare My FHA vs VA Numbers →](https://shannonswartz.zipforhome.com/LoanApplication/Contact?Language=E&IsStart=Y)[Call (231) 737-9911](tel:2317379911) 725K+VA Vets & Active Duty 2.5%Down Payment Assistance Grant Maximum $1.2MNoVA FHA Ceiling 100+Lenders Written by Shannon Swartz · NMLS #112844 · 20+ Years in Mortgage Lending · PierPoint Mortgage LLC · Licensed in 15+ States · Last updated July 20, 2026 FHA VS VA DECISION FRAMEWORK ## When Does FHA Actually Beat VA for Virginia Buyers? **Most Virginia FHA-eligible buyers, especially near Norfolk, Hampton Roads, Fort Belvoir, Quantico, and the Pentagon, are also VA-eligible.** The real question is not whether to use FHA. It is when FHA still beats a VA entitlement. VA wins when a buyer needs true 100% financing, qualifies for a funding fee waiver from a service-connected disability rating, and plans to hold the home long term as a primary residence.FHA wins in four specific situations: stacking down payment assistance available in this area on top of a first mortgage, buying a second home or investment-adjacent property where VA entitlement cannot be used, preserving VA entitlement for a future retirement move or larger purchase down the road, and covering a non-service-connected spouse or adult child who wants to buy alone without using the veteran’s entitlement at all. Run the math before assuming VA automatically wins. On a $400,000 home, a veteran using the VA funding fee (2.15% for a first-time use, zero down) adds $8,600 to the loan balance up front. That same buyer stacking FHA 3.5% down with a 2.The grant covers $10,000 of the $14,000 down payment in outright grant money, and keeps the VA entitlement untouched for a future purchase. Over a five to seven year hold, the funding fee financed into a VA loan can cost more in accrued interest than the FHA mortgage insurance premium, particularly for buyers who plan to refinance or sell before year ten. ### Which Situation Sounds Like Yours? Pentagon government contractor, $175K income, Arlington under $900K VA-eligible from prior active duty, but choosing FHA to preserve the entitlement for a larger purchase closer to retirement.Stacks the grant to offset Arlington’s high price point without touching VA benefits now. Norfolk Navy corpsman, $58K income plus BAH, active duty Chooses FHA over VA on a starter Hampton Roads property so the VA entitlement stays available for a post-service home purchase, using BAH as qualifying income to support the FHA debt-to-income ratio. Fairfax County teacher, $88K income, non-veteran spouse buying alone No personal VA eligibility means FHA plus state and local down payment assistance programs is the only down payment assistance path available for a Fairfax County purchase without adding the veteran spouse to the loan. Roanoke first-time buyer, $54K income, rural Blue Ridge purchase No VA eligibility at all. FHA’s 3.5% down and flexible credit requirements make it the practical entry point for a first home in the Blue Ridge foothills near Roanoke. Source: [U.S. Department of Veterans Affairs, VA Home Loan Program](https://www.va.gov/housing-assistance/home-loans/) and [HUD Handbook 4000.1](https://www.hud.gov/hud-partners/single-family-handbook-4000-1): VA entitlement rules do not restrict a veteran from also qualifying for FHA financing on a separate transaction. RELATED QUESTIONS PEOPLE ASK ## What Do Virginia Buyers Ask Next About FHA vs VA? ### When does FHA actually beat VA for a Virginia veteran buyer? FHA beats VA when the buyer wants to stack down payment assistance available in this area, buy a second property VA entitlement cannot cover, or preserve entitlement for a future purchase instead of using it now on a starter home. ### Can I use a down payment assistance grant with FHA if I already have an active VA loan? Yes.The grant attaches to the new FHA first mortgage, not to any other loan you hold, so an existing VA loan on a prior property does not block eligibility for the grant on a new FHA purchase. ### How does BAH count toward FHA DTI for an active-duty Virginia buyer? HUD Handbook 4000.1 allows Basic Allowance for Housing to count as stable, tax-free effective income for FHA debt-to-income calculations, documented directly off the service member’s Leave and Earnings Statement. ### Does Virginia’s grantor tax add to my FHA closing costs? Virginia’s grantor tax is customarily paid by the seller in most markets, but the state recordation tax is typically a buyer cost and does add to the standard 2 to 5% FHA closing cost range. VIRGINIA FHA LOAN LIMITS BY COUNTY ## Which Virginia Counties Hit the $1,209,750 FHA Ceiling (And Which Are at the Floor)? **Virginia’s 2026 FHA loan limits span the entire national range**, from the $1,209,750 high-cost ceiling in the Washington DC suburbs to the $524,225 national floor in rural Southwest Virginia, because home prices vary so sharply between Northern Virginia and the rest of the state. | Tier | 2026 FHA Limit | Representative Counties/Cities | | --- | --- | --- | | **High-Cost Ceiling** | $1,209,750 | Arlington, Fairfax, Loudoun, Prince William, Stafford, Alexandria | | Mid-Tier | $524,226 to $862,500 | Chesterfield, Henrico, Virginia Beach, Chesapeake, Norfolk, Newport News | | Floor | $524,225 | Wise, Buchanan, Dickenson, Highland, Bath, Accomack, Northampton | ### DC Suburb Counties at the Ceiling Arlington County $1,209,750 Fairfax County $1,209,750 Loudoun County $1,209,750 Prince William County $1,209,750 Stafford County $1,209,750 Alexandria (independent city) $1,209,750 These jurisdictions sit inside the Washington-Arlington-Alexandria high-cost metro area, so FHA sets the limit at the national ceiling to match median home prices driven by federal employment and Pentagon-adjacent demand. ### Richmond and Hampton Roads Mid-Tier Chesterfield County (Richmond metro), Henrico County (Richmond metro), Virginia Beach, Chesapeake, Norfolk, and Newport News all fall in this mid-tier band. These markets carry limits between $524,226 and $862,500 depending on the specific county’s median sale price, reflecting steady but more moderate home values than Northern Virginia. ### Rural and Southwest Virginia Floor Wise County, Buchanan County, Dickenson County, Highland County, Bath County, Accomack County (Eastern Shore), and Northampton County (Eastern Shore) all sit at the national floor. Coalfield Southwest Virginia, the Blue Ridge counties, and the Eastern Shore all sit at the $524,225 national floor, which still comfortably covers the median home price in these lower-cost rural markets. Source: [HUD Mortgagee Letter 2025-24](https://www.hud.gov/program_offices/administration/hudclips/letters/mortgagee), 2026 FHA loan limits by county. Virginia Down Payment Assistance Grant ## How Does a Down Payment Assistance Grant Stack With FHA in Virginia? **State and local down payment assistance programs may offer a down payment assistance grant worth 2%, 2.25%, or 2.5% of the loan amount**, and unlike a second mortgage, it is outright grant money that never gets repaid or forgiven over time. The exact percentage depends on the borrower’s credit score tier, with the 2.5% tier generally reserved for the strongest credit files. Because it is a grant and not a silent second lien, it stacks cleanly behind an FHA first mortgage without adding a second monthly payment or a recapture clause tied to selling within a set number of years. On a $450,000 Chesapeake FHA purchase, a 2.5% grant delivers $11,250 in grant funds, which covers most of the $15,750 needed for the standard 3.5% FHA down payment. The remaining gap of roughly $4,500 can come from the borrower’s own funds, a gift, or a seller concession, meaning a buyer can often close a Hampton Roads FHA purchase with only a few thousand dollars out of pocket beyond closing costs. | County/Region | Income Limit | | --- | --- | | Fairfax County | $200,000 | | Richmond area | $121,000 | | Norfolk area | $106,000 | Source: state and local down payment assistance program guidelines. ### Curious Whether FHA or VA Wins for Your Virginia Purchase? Shannon runs both scenarios side by side, including the Virginia Housing grant stack, in one call. No credit pull, no commitment. [Compare My FHA vs VA Numbers →](https://shannonswartz.zipforhome.com/LoanApplication/Contact?Language=E&IsStart=Y)[Call (231) 737-9911](tel:2317379911)NMLS #112844 · No credit pull required INTERACTIVE – FHA PAYMENT CALCULATOR ## What Real Monthly PITI Should You Expect on a Virginia FHA Purchase (NoVA vs Hampton Roads vs Southwest)? **Virginia’s regional price spread means an FHA PITI payment can range from roughly $1,200 to nearly $5,000 a month** depending on where in the state you buy, at a 6.5% market rate with 3.5% down. | Market | Home Price | Est. Monthly PITI | | --- | --- | --- | | Fairfax County (NoVA) | $650,000 | ~$4,950 | | Virginia Beach (Hampton Roads) | $385,000 | ~$2,915 | | Roanoke (Blue Ridge) | $215,000 | ~$1,710 | | Wise County (Southwest VA) | $165,000 | ~$1,230 | Estimates assume 6.5% rate per [Freddie Mac Primary Mortgage Market Survey](https://www.freddiemac.com/pmms) (July 2026), 3.5% down, and county-effective property tax rates; actual payment depends on final credit, insurance, and HOA review. Your Loan Inputs Home Price $450,000 $150K$1.2M Down Payment 3.5% 3.5% (FHA min)20% (no MI) Interest Rate 6.500% 5.0%8.0% Credit Score Tier Your Estimated Monthly Payment TOTAL MONTHLY PITI $3,540 Principal + Interest + Taxes + Insurance + MIP P&I$2,745 Property Taxes$391 Home Insurance$140 FHA MIP$279 [See My Real Rate →](https://shannonswartz.zipforhome.com/LoanApplication/Contact?Language=E&IsStart=Y) Actual rate depends on full credit, income, and property review. Call [(231) 737-9911](tel:2317379911) for exact numbers. MILITARY-ADJACENT FHA RULES ## How Do FHA Rules Handle Virginia Military-Adjacent Purchases (BAH, PCS Moves, Occupancy)? **FHA underwriting treats Basic Allowance for Housing as stable, tax-free effective income** for debt-to-income purposes, which matters heavily in a state where Norfolk, Hampton Roads, Fort Belvoir, and Quantico anchor tens of thousands of active-duty households. A service member’s BAH amount, documented directly from the Leave and Earnings Statement, gets added to base pay when calculating how much home the buyer can qualify for, often making the difference between qualifying and not in higher-cost Hampton Roads or Northern Virginia markets. FHA also allows occupancy exceptions tied to military orders. A buyer stationed elsewhere under PCS orders can still purchase a Virginia primary residence ahead of an anticipated future assignment back to the state, as long as the intent to occupy is documented and reasonable given the timeline. Norfolk and Hampton Roads shipyard civilian workers, who often carry variable overtime pay tied to ship maintenance cycles, can have that overtime counted as qualifying income when a two-year history is documented. Fort Belvoir and Pentagon commuters dealing with 55-plus minute one-way commutes should know FHA does not disqualify a purchase based on commute distance alone, though lenders will confirm the property is being purchased as a genuine primary residence rather than a secondary or investment property. SS ABOUT THE AUTHOR Shannon Swartz, Owner & President, PierPoint Mortgage LLC Licensed mortgage broker with 20+ years of hands-on mortgage lending experience. NMLS #112844. Founder and Owner of PierPoint Mortgage LLC. Licensed to originate home loans in 15 states: Alabama, California, Colorado, Connecticut, Florida, Georgia, Louisiana, Maine, Michigan, North Carolina, Oklahoma, Oregon, Pennsylvania, Virginia, and Washington. Direct wholesale-lender relationships with 100+ mortgage lenders including UWM, Rocket Pro TPO, PennyMac TPO, and Loan Depot Wholesale. Personally reviews and manages every loan file from application to closing. 4.9/5 star rating from 152 verified reviews across service areas. Last updated: July 20, 2026 · Reviewed by PierPoint Mortgage LLC, 3088 Sheffield St. STE B, Muskegon, MI 49441 · Call [(231) 737-9911](tel:2317379911) FAQ ## Which Virginia FHA Questions Get Asked Most Often at PierPoint? Can I use FHA if I already have an active VA loan on another property? Yes, in most cases. FHA does not prohibit a borrower from holding an active VA loan on one property while closing a new FHA loan on another, since the two programs underwrite independently and FHA has no rule tying eligibility to other financing. What matters is documented occupancy intent, since FHA requires the new home to be your primary residence within 60 days of closing, and your debt-to-income ratio must still support both payments if the VA property is not being sold. Does the grant have to be paid back if I sell in year 3? No. The down payment assistance grant is a true grant, not a second lien and not a forgivable loan, so there is no repayment trigger tied to selling, refinancing, or moving out early. Unlike some state down payment assistance second mortgages that carry five to ten year recapture clauses, grant funds are disbursed at closing with no strings attached once the FHA first mortgage funds. How does the Virginia state grantor tax affect my FHA closing costs? Virginia’s grantor tax runs about $0.50 per $500 of sale price, roughly 0.1%, and it is customarily paid by the seller in most Virginia markets, though contract terms can shift responsibility. On a $400,000 FHA purchase, that is roughly $400 in grantor tax. Buyers should still budget separately for the state’s recordation tax, which typically falls on the buyer’s side and adds to standard FHA closing costs of 2 to 5%. Can BAH from active duty count toward FHA DTI even if I’m PCS-relocating? Yes. HUD Handbook 4000.1 allows Basic Allowance for Housing to count as effective income for FHA debt-to-income calculations since it is stable, tax-free, and documented on the Leave and Earnings Statement. If a PCS move is scheduled, FHA still permits the purchase as a primary residence provided the borrower intends to occupy within 60 days, or documents an approved occupancy exception tied to military orders. What FHA rule applies to Virginia Beach oceanfront short-term-rental purchases? FHA loans require owner occupancy as a primary residence, so a Virginia Beach oceanfront property financed with FHA cannot be purchased purely as a short-term rental. Buyers can occupy the home as their primary residence and rent out spare rooms or a portion of a 2 to 4 unit property, but pure investment or vacation-rental purchases need conventional, DSCR, or investor financing instead of FHA. VIRGINIA CITIES SERVED ## Which Virginia Cities Does PierPoint Serve for FHA Loans? From the Pentagon-adjacent suburbs of Northern Virginia down through Hampton Roads’ naval shipyards to the Blue Ridge foothills, PierPoint originates FHA loans across every major Virginia market. Pick a city below for local loan limits, grant details, and closing timelines specific to that market. FHA Loans by Virginia City [Virginia Beach, VA](https://pierpointmortgage.com/fha-loans/fha-loans-virginia/)[Norfolk, VA](https://pierpointmortgage.com/fha-loans/fha-loans-virginia/)[Chesapeake, VA](https://pierpointmortgage.com/fha-loans/fha-loans-virginia/)[Richmond, VA](https://pierpointmortgage.com/fha-loans/fha-loans-virginia/)[Arlington, VA](https://pierpointmortgage.com/fha-loans/fha-loans-virginia/)[Newport News, VA](https://pierpointmortgage.com/fha-loans/fha-loans-virginia/)[Alexandria, VA](https://pierpointmortgage.com/fha-loans/fha-loans-virginia/)[Hampton, VA](https://pierpointmortgage.com/fha-loans/fha-loans-virginia/) YOUR NEXT STEP ## FHA or VA for Your Virginia Purchase? Let’s Run Both. Five-minute call with Shannon. No credit pull. You’ll know whether FHA or VA wins for your purchase and how the grant stacks on top. [Compare My FHA vs VA Numbers →](https://shannonswartz.zipforhome.com/LoanApplication/Contact?Language=E&IsStart=Y)[Call (231) 737-9911](tel:2317379911) NMLS #112844 · Equal Housing Opportunity · No credit pull required to start --- **Shopping a mortgage in one of our 15 states?** PierPoint Mortgage is an independent brokerage, NMLS #112844, licensed since 2003. We compare wholesale rate sheets from 100+ lenders instead of selling one bank's products, and give you a written quote before you commit to anything. - Free rate comparison: (231) 737-9911 - Apply: https://pierpointmortgage.com/apply/ - Full page: https://pierpointmortgage.com/fha-loans/fha-loans-virginia/