What Veterans Should Know Before Buying a Home on Long Island
Updated: Oct 2
Quick answer: Many veterans can buy with no down payment and no private mortgage insurance (PMI) using a VA loan, but you'll still have closing costs. Get your Certificate of Eligibility early, compare the full monthly payment including Long Island property taxes, and ask the local assessor about veterans' property tax exemptions.
Buying a home is a big decision for anyone. For veterans, there may be benefits that make it easier, but it helps to understand how they work before you start looking at houses.
If you're planning to buy in Suffolk or Nassau County, here are a few things to know.
1. A VA loan may let you buy with no down payment
One of the biggest advantages of a VA-backed purchase loan is the option to buy with no down payment. That does not mean buying a home costs nothing upfront. You may still have closing costs, inspection costs, and other expenses, and a lender will review your income, credit, and finances. VA-backed loans also do not require private mortgage insurance (PMI), which can help reduce monthly costs.
No down payment is not guaranteed in every case, however. You may still need one if you have reduced entitlement (for example, from a VA loan you still have), if the purchase price is above the appraised value, or if your lender requires it. VA purchase loans are also generally for a home you will live in as your primary residence. That can include a two- to four-unit property, as long as you live in one of the units.
Start by talking with a lender who regularly handles VA loans. Ask for an estimate of both your monthly payment and the cash you would need to close.
Official source: VA-backed home loans (U.S. Department of Veterans Affairs)
2. Get your Certificate of Eligibility early
A Certificate of Eligibility, or COE, shows a lender that you qualify for the VA home loan benefit. It is a good first step, but it is not a mortgage approval. The lender still needs to review your finances and the property you want to buy.
Getting this started early can help you understand your options before you find a home you love.
Official source: How to request a VA home loan Certificate of Eligibility (U.S. Department of Veterans Affairs)
3. Look beyond the purchase price
On Long Island, the monthly cost of a home can vary a lot from one property to the next. Property taxes are a major reason why.
When comparing homes, look at the full estimated payment: mortgage principal and interest, property taxes, homeowners insurance, flood insurance and HOA or condominium fees where applicable, and any other costs that apply. A house with a lower asking price may not have a lower monthly cost.
4. Ask about veterans' property tax exemptions
New York has several veterans' property tax exemptions, but eligibility and savings depend on your circumstances and the local taxing jurisdiction. An exemption is not automatic just because you have a VA loan.
Before making an offer, speak with the local assessor about the property and the exemptions you may qualify for. If you already receive an exemption on another home, ask how a move could affect it.
Official source: New York State veterans' property tax exemptions (NYS Department of Taxation and Finance)
5. Understand the VA funding fee
Some buyers using a VA loan pay a one-time funding fee. Others are exempt, including certain veterans receiving VA disability compensation. The amount, when applicable, depends on factors such as your down payment and whether you have used the benefit before.
Ask your lender to confirm whether the fee applies to you and show it clearly in your loan estimate. Also compare loan offers; a VA loan is a valuable option, but you should still understand its total cost.
6. Get a home inspection
A VA appraisal and a home inspection serve different purposes. The appraisal provides an opinion of value and checks the home against VA property requirements. It does not give you the detailed look at the home that an inspection can provide.
That matters whether you are buying an older Long Island home or a recently renovated one. Before you commit, understand the condition of the roof, heating system, electrical system, plumbing, and any signs of water intrusion.
7. You can use your benefit more than once
Many veterans believe the VA home loan benefit is only available for their first home purchase. That is not always the case. If you have used it before, a lender can review your remaining or restored entitlement and explain your options.
The best move is to ask rather than assume you no longer qualify.
Start with a plan
A good first conversation should answer three questions: What can I comfortably afford each month? What will I need at closing? Which homes fit both my needs and my loan options?
I'm Jack Cutrone, a Licensed Real Estate Salesperson with Patriot Real Properties. I serve buyers and sellers throughout Suffolk and Nassau County and hold the Military Relocation Professional (MRP) and Pricing Strategy Advisor (PSA) certifications. If you're a veteran thinking about buying a home on Long Island, I'd be glad to help you understand the local market and build a practical search plan. See my step-by-step guide to buying a home on Long Island, my First-Time Home Buyer Guide, or contact me to get started.
Frequently Asked Questions
Can veterans buy a home on Long Island with no down payment?
Often, yes. A VA-backed purchase loan may let you buy with no down payment, but you may still have closing costs, inspection costs and other expenses, and the lender will review your income, credit and finances. A down payment may still be needed if you have reduced entitlement, the price is above the appraised value or the lender requires one.
Is a Certificate of Eligibility the same as a mortgage approval?
No. A Certificate of Eligibility (COE) shows a lender that you qualify for the VA home loan benefit. The lender still needs to review your finances and the property before approving a loan.
Do I automatically get a veterans' property tax exemption in New York?
No. New York has several veterans' property tax exemptions, but eligibility and savings depend on your circumstances and the local taxing jurisdiction. Speak with the local assessor before making an offer.
Can I use my VA home loan benefit more than once?
In many cases, yes. If you have used it before, a lender can review your remaining or restored entitlement and explain your options.
Jack Cutrone
Licensed Real Estate Salesperson | Patriot Real Properties
Military Relocation Professional (MRP) | Pricing Strategy Advisor (PSA)
Serving Suffolk and Nassau County
631-926-9592 | jack@patriotrealproperties.com
Loan terms and eligibility are determined by the lender and VA. Property tax exemption eligibility is determined by the applicable assessor.
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