VA Loans in Florida: Eligibility, Funding Fee and Tax Breaks for Veterans

Short answer

A VA loan in Florida lets an eligible veteran or service member buy a primary home with $0 down and no monthly mortgage insurance, as long as the price is not above the appraised value. The main cost is a one-time VA funding fee, 2.15% of the loan on a first-use purchase with less than 5% down as of October 2026, and veterans who receive VA disability compensation pay no fee at all. Florida adds property tax breaks for disabled veterans, up to a full exemption on the homestead.

Who is eligible, and how to get your COE

VA eligibility is based on service, not income. The VA's minimums, as of October 2026:

• Active duty: 90 continuous days.
• Veterans who served from August 2, 1990 to today: 24 continuous months, or the full period you were called to active duty (at least 90 days). Less is allowed if you were discharged for a service-connected disability.
• National Guard and Reserve: 90 days of non-training active duty, or 6 creditable years of service. Guard members can also qualify with 90 days of active duty that includes 30 consecutive days under certain Title 32 orders.
• Surviving spouses: may qualify if they receive or are eligible for certain Dependency and Indemnity Compensation (D.I.C.), or if the service member is missing in action or a prisoner of war.

Proof of eligibility is the Certificate of Eligibility (COE). There are three ways to get it: online from the VA, through your lender using the VA's Web LGY system, or by mail with VA Form 26-1880. Mail is the slowest.

What the VA needs depends on your status. Veterans send the DD214. Active-duty members send a statement of service signed by the commander, adjutant or personnel officer. Surviving spouses who receive D.I.C. use VA Form 26-1817.

No down payment: how entitlement works

The VA does not lend the money. It guarantees part of the loan, and that guarantee is your entitlement. It is the reason lenders accept $0 down.

• Full entitlement: if you have never used your benefit, or you used it and paid the loan off and sold the home, there is no VA loan limit. The lender decides how much you can borrow from your income, debts, credit and assets. You can buy with $0 down as long as the price is not above the appraised value.
• Remaining entitlement: if you still have a VA loan on another home, your available entitlement is based on the county loan limit minus what you already used. Most lenders want your entitlement, a down payment, or both to cover at least 25% of the loan. If the remaining entitlement falls short, you put down the difference.
• No mortgage insurance: VA loans have no PMI or MIP, which can save a few hundred dollars a month compared with a low-down-payment FHA or conventional loan.
• Occupancy: the home must be your primary residence. VA loans cover 1 to 4 units, so you can buy a duplex, live in one side and rent the other.

The VA sets no minimum credit score. Lenders set their own, and they still review income and debt. You may qualify with a score or debt ratio that a conventional loan would not accept, subject to credit approval.

The VA funding fee as of October 2026

The VA funding fee is a one-time charge, a percentage of the loan amount (not the price). Rates in effect since April 7, 2023, per the VA:

• Purchase, less than 5% down: 2.15% first use, 3.3% after first use.
• Purchase, 5% or more down: 1.5%, first use or later.
• Purchase, 10% or more down: 1.25%, first use or later.
• Cash-out refinance: 2.15% first use, 3.3% after first use.
• IRRRL (rate-reduction refinance): 0.5%.
• Loan assumption: 0.5%.

You can add the funding fee to the loan. It is the only cost you can finance on a purchase; other closing costs are paid at closing or by the seller.

Example: a $450,000 home, first use, $0 down. Funding fee $450,000 x 2.15% = $9,675. Total loan $459,675.

You pay no funding fee if:

• You receive VA compensation for a service-connected disability.
• You are eligible for that compensation but receive retirement or active-duty pay instead.
• You are a surviving spouse receiving D.I.C.
• You are a service member with a proposed or memorandum rating, before closing, showing you are eligible for compensation from a pre-discharge claim.
• You are on active duty and show, on or before closing, that you received a Purple Heart.

If the VA later awards you compensation with an effective date before your closing, you may get the fee refunded.

Florida property tax breaks for disabled veterans

Florida stacks several breaks on top of the regular homestead exemption, which takes up to $25,000 off assessed value for all taxes plus up to another $25,000 on value above $50,000 for non-school taxes (s. 196.031). For veterans, per the Florida Statutes and Florida DOR form PT-109:

• Total exemption, s. 196.081: a veteran honorably discharged with a service-connected total and permanent disability pays no property tax on the homestead. A federal letter certifying the disability, presented to the county property appraiser, is the proof. The exemption can carry over to a surviving spouse who keeps the home and does not remarry. A similar total exemption exists for certain veterans confined to wheelchairs (s. 196.091).
• $5,000 exemption, s. 196.24: a Florida resident veteran with a disability rating of 10% or more, honorably discharged, gets $5,000 off assessed value. It is not limited to homestead property, and an unremarried surviving spouse can also claim it.
• Combat-disabled discount, s. 196.082: a veteran 65 or older with a combat-related, service-connected disability gets a discount equal to the disability percentage, applied after other exemptions.

You apply with your county property appraiser: miamidade.gov/pa, bcpa.net or pbcpao.gov. You can apply before your VA letter arrives; if approved, the exemption dates back to your application and excess taxes are refunded, within four years.

Why this matters for the mortgage: lenders qualify you on the full monthly payment, including taxes. A lower tax bill lowers your payment and can raise what you qualify for.

Condos: the building must be VA-approved

The VA finances condos only in a VA-approved project. This is where many South Florida VA purchases stall, because the approval list is separate from FHA's and from Fannie Mae's.

• Check the project before you make an offer. The VA keeps its own list of approved condo projects; a project not on it can be submitted for approval, which takes time.
• Older towers with milestone inspections, reserve shortfalls or special assessments can be hard to approve. See what a milestone inspection is and what a special assessment is.
• If the building is not VA-approved and approval is not realistic, look at a townhouse or single-family home, or compare FHA and conventional options in our Miami condo down payment guide.

Send us the building address first. We check approval status before you spend money on an inspection or appraisal.

Using a VA loan in South Florida

• Seller help: sellers can pay your closing costs. VA caps seller concessions at 4% of the home's reasonable value on the VA Notice of Value, and normal closing costs paid by the seller do not count toward that cap.
• Insurance and flood: your payment includes homeowners insurance and, in a flood zone, flood insurance. In Miami-Dade, Broward and Palm Beach these can be a large part of the payment, so get quotes early. See what a flood zone is.
• Refinancing later: if rates drop, a VA IRRRL can lower your rate with a 0.5% funding fee (or none if you are exempt) and less paperwork. See what an IRRRL is.

QMS Lending (NMLS #1781090) is an independent mortgage broker in Miami, FL, with access to 100+ lenders. VA lenders set different credit minimums and overlays, so shopping several can matter. Rates vary daily; call 305-425-1990 for today's pricing. Start on our VA loans page. In English or Spanish. Subject to credit approval.