THDA Great Choice Plus + VA Loan in Tennessee
A VA loan gets Tennessee veterans in with zero down. Pair it with THDA and the assistance covers closing costs, and Homeownership for Heroes cuts the rate. For buyers near Fort Campbell, this is the strongest cash-saving stack in the state.
Why the VA pairing is different
A VA loan is the best financing most veterans will ever get: zero down, no monthly mortgage insurance, and strong terms. So when you pair it with THDA, the assistance is not covering a down payment, a VA loan has none. Instead Great Choice Plus covers closing costs and prepaid items, the cash a VA buyer still brings to the table. That lets a veteran keep savings intact while buying. For a Fort Campbell family, it can be the difference between buying now and waiting another year.
Stacking the Heroes rate cut
THDA goes further for veterans through Homeownership for Heroes, which reduces the Great Choice rate by 50 basis points. Because the Great Choice first mortgage can be a VA loan, a veteran gets the zero-down VA structure, the Heroes rate reduction, and Great Choice Plus covering closing costs, all on one loan. See the details on our Homeownership for Heroes page.
The Veteran Exemption on the first-time rule
THDA normally requires no primary-home ownership in the last 36 months. Qualifying veterans are exempt statewide, so a veteran who owned during a prior assignment can still use Great Choice and the DPA second anywhere in Tennessee. Combined with the VA loan and Homeownership for Heroes, veterans have more room than any other Tennessee buyer. The Clarksville page covers the Fort Campbell market specifically.
THDA facts verified August 2026 (THDA). VA loan details per the U.S. Department of Veterans Affairs. This is not a commitment to lend. Related: DPA + FHA.
Common questions
Can you combine a VA loan with THDA down payment assistance?
Yes. A VA loan requires no down payment for eligible veterans, so THDA's Great Choice Plus second covers closing costs and prepaid items instead. Homeownership for Heroes can also cut the rate by 50 basis points.
Is there extra help for veterans buying near Fort Campbell?
Yes. Veterans can stack a zero-down VA loan, the Homeownership for Heroes 50 basis-point rate reduction, and Great Choice Plus covering closing costs. Montgomery County (Clarksville) is one of the strongest THDA markets for this.
Do veterans have to be first-time buyers for THDA?
No. Qualifying veterans are exempt from THDA's 36-month first-time-buyer rule statewide through the Veteran Exemption, so a veteran who owned a home before can still use Great Choice and the DPA second.
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