Top VA Construction Loan Lenders for Veterans in 2025

For veterans and active-duty service members, building a home can be one of the most rewarding experiences of their post-military journey. The VA construction loan makes it possible to build a home from the ground up with the benefits of the VA loan program—such as zero down payment, no private mortgage insurance (PMI), and competitive interest rates.

However, not all VA-approved lenders offer construction loans, and many well-known institutions don’t fund the construction phase. That’s why it's crucial to work with lenders who understand the VA construction process inside and out.

What Is a VA Construction Loan?

A VA construction loan allows eligible veterans, active-duty service members, and surviving spouses to finance the construction of a new home instead of buying an existing one. These loans come with the same powerful benefits as traditional VA loans but are structured to support the unique needs of new home construction.

Key Features:

• No down payment required in most cases
• No PMI (Private Mortgage Insurance)
• Competitive interest rates
• Finance both land and home construction in one loan
• Often available as a One-Time Close Loan (construction + permanent loan combined)

Why You Need a Specialized Lender

VA construction loans are more complex than traditional mortgages. Lenders must:

• Work with VA-approved builders
• Approve construction plans
• Disburse funds in phases
• Ensure compliance with VA building standards

That’s why only a few lenders in the U.S. offer true VA construction loans and even fewer do it well.

Top VA Construction Loan Lenders in 2025

1. Security America Mortgage — The Nation’s Leading VA Construction Loan Specialist

Security America Mortgage stands out as one of the few lenders in the country that truly specializes in VA construction loans, especially the One-Time Close VA Construction Loan. This Texas-based lender is known for its veteran-first approach and in-depth experience helping military families build homes.

Why They’re the Best:

• One-Time Close VA Construction Loan: Close once, and you’re done no need to refinance later.
• All-in-One Financing: Covers both land purchase and home construction in a single package.
• Work with VA-Approved Builders: They help you find experienced and approved builders for your project.
• Veteran-Owned and Operated: Deep understanding of veterans' needs and challenges.
• Nationwide Service: Available in multiple states, including Texas, Florida, and California.

Whether you want to build a modern custom home, a rural barndominium, or a cozy retreat near a military base, Security America Mortgage can walk you through every step from builder approval to final move-in.

3. GO Mortgage – Offers VA Construction Loans in Select Areas

GO Mortgage is another lender that offers VA One-Time Close Construction Loans. Their process is tailored toward buyers who want to streamline the financing experience and avoid multiple closings.

Highlights:

• One-Time Close option
• Covers land, construction, and permanent financing
• Online and phone support for pre-qualification
• Available in select states

Note: Availability may be limited based on location and builder requirements

4. AFR Wholesale (American Financial Resources)

AFR Wholesale is a behind-the-scenes lender that works with brokers and mortgage professionals to provide VA construction loan options, including One-Time Close products.

Key Features:

• Offers One-Time Close VA Construction Loans
• Experienced in working with VA guidelines
• Provides training and support to brokers nationwide

While AFR doesn’t lend directly to consumers, you can access their VA construction loan through local mortgage brokers they partner with.

5. Mutual of Omaha Mortgage

Mutual of Omaha Mortgage has recently stepped into the VA construction loan space and offers flexible programs for qualified borrowers.

Benefits:

• Custom construction loan programs
• VA loan expertise
• Backed by a trusted national brand

They may not be as specialized as Security America Mortgage but are a growing choice for veterans exploring custom home building.

How to Choose the Right VA Construction Loan Lender

When comparing lenders, here’s what to look for:

 

Feature	Why It Matters
One-Time Close Option	Saves money and time with a single closing
VA Construction Loan Expertise	Ensures smoother process and fewer delays
Builder Approval Support	Helps you choose a builder who meets VA standards
Nationwide Reach	Gives flexibility if you plan to build in a different state
Veteran-Focused Service	Understands the military lifestyle and challenges

 

Final Thoughts

The VA construction loan is one of the most powerful but underutilized benefits available to military members and veterans. With the right lender, you can finance land, build your home, and transition to a permanent mortgage all in one simple process.

Among all available lenders, as the top VA construction loan provider in the U.S. for 2025. Their specialized expertise, veteran-focused service, and one-time close option make them the best choice for veterans ready to build the home they deserve.