Buying a Home with a VA Loan in Colorado Springs
Answers by Weldon Hobbs · Team Hobbs Realty
Military Relocation Professional (MRP) · USAFA graduate and retired Air Force veteran · 10+ military moves
More about Weldon →VA loans are part of everyday real estate in Colorado Springs, with Fort Carson, Peterson and Schriever Space Force Bases, Cheyenne Mountain Space Force Station, and the U.S. Air Force Academy all nearby. I'm not a loan officer. I'm the agent on your side of the purchase, and I work alongside VA-experienced lenders. My job is to know what to watch for on the property, the appraisal, the concessions, and the contract, so your VA loan doesn't become a reason a deal falls apart.
- Who it's for: active-duty service members, veterans, and eligible surviving spouses buying in Colorado Springs or El Paso County
- What I watch for: VA's minimum property requirements, the appraisal, seller concessions, and contract deadlines
- Who does the loan: a VA-experienced lender you choose; I'll give you three options to talk with
- Competing with other offers: here, a VA offer is written like any other strong offer
VA offers compete well in Colorado Springs
Because so many buyers here are military or veterans, local sellers and agents see VA offers every day. In my experience, a VA offer in Colorado Springs isn't written any differently from a conventional one. The lenders I recommend can often close in 30 days or less, though every loan's timeline depends on the buyer and the property. I've also helped buyers close the sale of one home in the morning and buy their next home with a VA loan that afternoon.
The worry some sellers used to have about VA loans is mostly a thing of the past here. When it does come up, it's usually about the appraisal, and that's where preparation on both sides matters.
VA appraisals and minimum property requirements (MPRs)
VA wants the home to be safe, structurally sound, and sanitary. The VA appraiser checks the home against VA's minimum property requirements as well as estimating its value. Those requirements focus on safety and livability, not cosmetics.
What I see most often in Colorado Springs
Peeling or chipping exterior paint has been the most common issue. VA updated its property requirements for appraisals ordered on or after May 1, 2026: on homes built in 1978 or later, peeling paint is now generally treated as cosmetic, while on homes built before 1978, defective paint is still presumed to contain lead and has to be fixed. Worn flooring has come up in the past when it created a safety concern. Roofs matter here too, because hail is a fact of life in Colorado Springs. Your lender can confirm how the current rules apply to a specific home.
How I handle it as your buyer's agent
I look for the same things on every home I show, because every home should meet basic livability standards. For VA buyers, I'm specifically watching for anything that could trigger a VA repair requirement, so we can anticipate it before you write an offer rather than discover it after the appraisal. The exception is a home priced below market because it needs work; that can still be the right home, but we plan the purchase around it.
How I handle it as a listing agent
When I'm selling a home, I recommend the seller fix likely VA items before listing. If money is a concern and the seller would rather not, I explain ahead of time what may need to be done for a VA loan to close, so we plan for it either way.
See what to repair before selling a Colorado Springs home and how hail damage affects buying and selling.
If a VA appraisal comes in low: Tidewater and reconsideration of value
VA has a well-established process for appraisals that look like they'll come in under the contract price. Under VA's Tidewater process, the appraiser notifies the lender before finishing the report, and the agents have a short window, typically two business days, to send comparable sales that support the price. After the appraisal, you can also ask for a reconsideration of value.
My approach is to do that homework before the offer. If the listing agent and I have both checked that the price is in the right range for the neighborhood, there's a strong chance of success if the value is questioned. It's never guaranteed, but the preparation is done ahead of time. See what happens if a home doesn't appraise for the contract price.
Seller concessions and the VA funding fee
Concessions
VA lets the seller pay your normal closing costs, and separately caps seller concessions at 4% of the home's reasonable value (the appraised value). Concessions include things like the seller paying your VA funding fee or paying off some of your debts. A seller paying your buyer's agent's fee doesn't count toward that 4%.
I work with your lender to put concessions where they help most. Based on how much you're putting down, I'll ask the lender where a seller credit would do the most for you: closing costs, the funding fee, or a lower rate.
The funding fee
The VA funding fee is a one-time charge that helps fund the program, and it can be rolled into the loan. Veterans who receive VA disability compensation, and some others, are exempt.
| VA purchase loan (rates effective April 7, 2023; checked October 2026) | First use | After first use |
|---|---|---|
| Less than 5% down | 2.15% | 3.3% |
| 5% to less than 10% down | 1.5% | 1.5% |
| 10% or more down | 1.25% | 1.25% |
Your lender will confirm your exact fee and whether you're exempt. See buyer closing costs in Colorado Springs.
Paying your buyer's agent on a VA purchase
Since the 2024 changes to how buyer's agents are paid, you sign a written agreement with your agent before touring. Often the seller still pays the buyer's agent, and you can ask for it in your offer. VA's current policy also allows a VA buyer to pay a reasonable buyer's agent fee directly, though that fee can't be financed into the loan. We'll talk through how it works for your purchase at the start. See how buyer agent fees work now.
VA loan assumptions, loan limits, and using your benefit again
- Assuming a seller's VA loan: a VA loan can be taken over by a qualified buyer, sometimes at a much lower rate than today's. It takes longer than a normal closing, the VA funding fee on an assumption is 0.5%, and you'll need to cover the gap between the loan balance and the price. See assuming a VA loan in Colorado Springs.
- Loan limits: if you have full entitlement, VA doesn't set a loan limit; your lender still decides how much you can borrow. See the VA loan limit in El Paso County.
- Keeping your current home: if you keep a VA-financed home as a rental, you may still be able to use your remaining entitlement on the next one. See keeping your home as a rental and using your VA benefit again.
The professionals I bring in
- Lenders: three VA-experienced options; you're free to choose anyone
- VA appraiser: assigned by VA through the lender, not chosen by you or me
- Home inspector: one I recommend; a VA appraisal isn't an inspection, so I recommend both
- Title company and insurance: coordinated to your closing date, including remote signing when you're not here yet
Team Hobbs Realty receives no referral fees from any of these professionals.
Why VA buyers work with me
- I've used the VA loan myself, and my family made more than 10 military moves.
- Military Relocation Professional (MRP) and a retired Air Force veteran.
- I anticipate VA property issues before you write an offer, not after the appraisal.
- I plan for your next move too, including whether the home could work as a rental.
What clients say
From reviews clients posted on Google.
“Weldon guided me through a VA loan assumption process in Colorado Springs. His knowledge of VA loans, the finances behind loans, and relocations made the process clear for us to decide what was best for my family and I.”
“I used a VA loan, and we closed on a normal timeline (about 30 days)… During inspections, we found some work that hadn’t been permitted, and Weldon coordinated with the seller to get it handled properly before closing.”
“We were also using a VA loan, and having someone who truly understands the military and veteran side of real estate made a huge difference. Weldon helped us navigate the VA process, coordinated with the right lending professionals, and made sure we understood our options every step of the way.”
VA home buying questions: short answers
- How do I choose a lender for a VA loan? Compare a few VA-experienced lenders on rate, fees, and how well they communicate on your timeline. Read the full answer
- Should I use a VA, FHA, or conventional loan? It usually comes down to your down payment, the funding fee, and the home you're buying. Read the full answer
- Can I buy remotely during a PCS? Yes, with video walkthroughs, a thorough inspection, and remote signing. Read the full answer
- How does BAH fit into what I can afford? Lenders can count it, but the full monthly cost of the home matters more than the BAH number. Read the full answer
Sources
- VA funding fee and closing costs, U.S. Department of Veterans Affairs
- VA home loan limits, U.S. Department of Veterans Affairs
- VA purchase loan, U.S. Department of Veterans Affairs
- Circular 26-24-14, buyer-broker fees, U.S. Department of Veterans Affairs
Let's talk about your VA purchase
If you're buying with a VA loan, let's start with your timeline and your lender, so we know what to watch for before you fall in love with a house.