Do VA loans require flood insurance?

Federal law requires flood insurance on properties in SFHA zones (the A and V series) when the financing is federally backed, and VA is federally backed. VA's regulation puts it plainly: the Secretary will not make, increase, extend, or renew the loan unless the property is covered for the term of the loan. Florida's coastal and inland flood maps shift, so a property's designation today may not be what it was a few years ago — confirm the zone before writing. A separate federal law matters on Florida's barrier islands. The Coastal Barrier Resources Act withdraws federal financial assistance inside the Coastal Barrier Resources System, and the U.S. Fish and Wildlife Service, which administers the CBRS, lists VA and FHA mortgages among the examples of assistance the Act prohibits there. NFIP coverage is generally unavailable inside the System as well. So on a barrier-island address a CBRS designation is a question about whether VA financing is available at all, not just what the insurance costs — check the official CBRS mapper for the specific parcel early. Whether a private flood policy can stand in for NFIP coverage is a lender-level question on any given file.

Title and escrow fees, Florida doc stamps, the funding fee, prepaids, escrow setup, and lender fees within VA's allowable list. Non-allowable fees shift to seller or lender.