Navigating the Home Buying Process with a VA Loan: A Veteran’s Must-Read Guide

How NAR Supports Veterans on Their Homeownership Journey

The National Association of REALTORS® (NAR) is committed to supporting veterans and active servicemembers in achieving the American Dream of homeownership. NAR recognizes the unique challenges that military families face and has worked tirelessly to ensure they receive the best possible guidance and opportunities in today’s real estate market. With recent real estate practice changes taking effect on August 17, 2024, NAR wants to ensure veterans have the knowledge and support they need to navigate the home-buying process with confidence.

Ensuring Access to Professional Representation

One of the biggest victories for veterans in recent years is the temporary policy change that now allows buyers using VA home loans to pay for professional real estate representation. As of August 10, 2024, the Department of Veterans Affairs (VA) enacted this policy, thanks to NAR’s persistent advocacy. We believe every veteran deserves expert guidance when purchasing a home, and this change ensures they have greater access to professional support.

Pushing for a Permanent Solution

While this policy is currently temporary, NAR is actively working with lawmakers and the VA to make it permanent. We continue to demonstrate how this change benefits veterans and advocate for long-term solutions that enhance homeownership opportunities for those who have served our country.

Providing Transparency Through Written Agreements

To ensure clarity and transparency in real estate transactions, the recent policy changes also require written buyer agreements. These agreements help veterans understand the services their real estate professional provides and how they will be compensated.

NAR supports these agreements as a way to empower veterans in their home-buying journey. The terms are negotiable, and veterans should never sign anything they do not fully understand. If you have questions, NAR provides dedicated resources to help navigate written buyer agreements.

How Veterans’ Agents Are Compensated

The payment structure for buyer representation is outlined in the written buyer agreement and may include:

• The seller or their listing broker offers compensation to the buyer’s agent.
• The buyer requested that the seller pay the buyer broker as part of the purchase offer.
• The buyer pays their agent directly out of pocket.

NAR believes in giving veterans full transparency and choice when it comes to how their agent is compensated.

NAR’s Commitment to Expanding Veteran Homeownership

For decades, NAR has been a strong supporter of the VA Home Loan Guaranty program, which has helped over 24 million veterans secure homeownership. Our advocacy efforts include:

• Working with the VA to ensure flexible and competitive loan products are available to veterans.
• Addressing strict appraisal requirements that sometimes hinder veteran buyers.
• Advocating for policy changes that allow descendants of certain veterans to use unused home loan benefits.
• Supporting legislation that would allow veterans to sell their home to a buyer who can assume their existing interest rate.

Why Veterans Should Work with a REALTOR®

Not all agents are REALTORS®, and those who are must adhere to NAR’s strict Code of Ethics, ensuring they work in the best interests of their clients. Additionally, many REALTORS® have obtained NAR’s Military Relocation Professional (MRP) certification, equipping them with specialized knowledge to better assist veteran buyers.

Veterans deserve expert guidance throughout their home-buying journey.

NAR Stands with Veterans

At NAR, we are proud to stand alongside our nation’s veterans, providing the resources, advocacy, and professional support needed to make homeownership a reality. The recent policy changes reflect our ongoing commitment to ensuring veterans have the best opportunities in the real estate market.

If you’re a veteran looking to buy a home, connect with us today and take the next step toward achieving your homeownership goals!