diff --git a/builtin/providers/vsphere/resource_vsphere_folder_test.go b/builtin/providers/vsphere/resource_vsphere_folder_test.go
index c8dd9828a..4e65ca6d2 100644
--- a/builtin/providers/vsphere/resource_vsphere_folder_test.go
+++ b/builtin/providers/vsphere/resource_vsphere_folder_test.go
@@ -136,8 +136,8 @@ func testAccCheckVSphereFolderDestroy(s *terraform.State) error {
 			return fmt.Errorf("error %s", err)
 		}
 
-		_, err = object.NewSearchIndex(client.Client).FindChild(context.TODO(), dcFolders.VmFolder, rs.Primary.Attributes["path"])
-		if err == nil {
+		f, err := object.NewSearchIndex(client.Client).FindChild(context.TODO(), dcFolders.VmFolder, rs.Primary.Attributes["path"])
+		if f != nil {
 			return fmt.Errorf("Record still exists")
 		}
 	}
diff --git a/builtin/providers/vsphere/resource_vsphere_virtual_machine.go b/builtin/providers/vsphere/resource_vsphere_virtual_machine.go
index 0ae637911..724881a85 100644
--- a/builtin/providers/vsphere/resource_vsphere_virtual_machine.go
+++ b/builtin/providers/vsphere/resource_vsphere_virtual_machine.go
@@ -38,8 +38,9 @@ type networkInterface struct {
 }
 
 type hardDisk struct {
-	size int64
-	iops int64
+	size     int64
+	iops     int64
+	initType string
 }
 
 type virtualMachine struct {
@@ -235,6 +236,21 @@ func resourceVSphereVirtualMachine() *schema.Resource {
 							ForceNew: true,
 						},
 
+						"type" : &schema.Schema{
+							Type:	  schema.TypeString,
+							Optional: true,
+							ForceNew: true,
+							Default:  "eager_zeroed",
+							ValidateFunc: func(v interface{}, k string) (ws []string, errors []error) {
+								value := v.(string)
+								if value != "thin" && value != "eager_zeroed" {
+									errors = append(errors, fmt.Errorf(
+										"only 'thin' and 'eager_zeroed' are supported values for 'type'"))
+								}
+								return
+							},
+						},
+
 						"datastore": &schema.Schema{
 							Type:     schema.TypeString,
 							Optional: true,
@@ -381,10 +397,14 @@ func resourceVSphereVirtualMachineCreate(d *schema.ResourceData, meta interface{
 				} else {
 					return fmt.Errorf("Size argument is required.")
 				}
+
 			}
 			if v, ok := disk["iops"].(int); ok && v != 0 {
 				disks[i].iops = int64(v)
 			}
+			if v, ok := disk["type"].(string); ok && v != "" {
+				disks[i].initType = v
+			} 
 		}
 		vm.hardDisks = disks
 		log.Printf("[DEBUG] disk init: %v", disks)
@@ -678,7 +698,7 @@ func buildNetworkDevice(f *find.Finder, label, adapterType string) (*types.Virtu
 }
 
 // buildVMRelocateSpec builds VirtualMachineRelocateSpec to set a place for a new VirtualMachine.
-func buildVMRelocateSpec(rp *object.ResourcePool, ds *object.Datastore, vm *object.VirtualMachine) (types.VirtualMachineRelocateSpec, error) {
+func buildVMRelocateSpec(rp *object.ResourcePool, ds *object.Datastore, vm *object.VirtualMachine, initType string) (types.VirtualMachineRelocateSpec, error) {
 	var key int
 
 	devices, err := vm.Device(context.TODO())
@@ -691,6 +711,7 @@ func buildVMRelocateSpec(rp *object.ResourcePool, ds *object.Datastore, vm *obje
 		}
 	}
 
+	isThin := initType == "thin"
 	rpr := rp.Reference()
 	dsr := ds.Reference()
 	return types.VirtualMachineRelocateSpec{
@@ -701,8 +722,8 @@ func buildVMRelocateSpec(rp *object.ResourcePool, ds *object.Datastore, vm *obje
 				Datastore: dsr,
 				DiskBackingInfo: &types.VirtualDiskFlatVer2BackingInfo{
 					DiskMode:        "persistent",
-					ThinProvisioned: types.NewBool(false),
-					EagerlyScrub:    types.NewBool(true),
+					ThinProvisioned: types.NewBool(isThin),
+					EagerlyScrub:    types.NewBool(!isThin),
 				},
 				DiskId: key,
 			},
@@ -1057,6 +1078,7 @@ func (vm *virtualMachine) deployVirtualMachine(c *govmomi.Client) error {
 					object.NewFolder(c.Client, d),
 				}
 				sps := buildStoragePlacementSpecClone(c, dcFolders, template, resourcePool, sp)
+
 				datastore, err = findDatastore(c, sps)
 				if err != nil {
 					return err
@@ -1068,10 +1090,11 @@ func (vm *virtualMachine) deployVirtualMachine(c *govmomi.Client) error {
 	}
 	log.Printf("[DEBUG] datastore: %#v", datastore)
 
-	relocateSpec, err := buildVMRelocateSpec(resourcePool, datastore, template)
+	relocateSpec, err := buildVMRelocateSpec(resourcePool, datastore, template, vm.hardDisks[0].initType)
 	if err != nil {
 		return err
 	}
+
 	log.Printf("[DEBUG] relocate spec: %v", relocateSpec)
 
 	// network
@@ -1226,7 +1249,7 @@ func (vm *virtualMachine) deployVirtualMachine(c *govmomi.Client) error {
 	log.Printf("[DEBUG]VM customization finished")
 
 	for i := 1; i < len(vm.hardDisks); i++ {
-		err = addHardDisk(newVM, vm.hardDisks[i].size, vm.hardDisks[i].iops, "eager_zeroed")
+		err = addHardDisk(newVM, vm.hardDisks[i].size, vm.hardDisks[i].iops, vm.hardDisks[i].initType)
 		if err != nil {
 			return err
 		}
diff --git a/builtin/providers/vsphere/resource_vsphere_virtual_machine_test.go b/builtin/providers/vsphere/resource_vsphere_virtual_machine_test.go
index 5d239ac5e..7f689fea3 100644
--- a/builtin/providers/vsphere/resource_vsphere_virtual_machine_test.go
+++ b/builtin/providers/vsphere/resource_vsphere_virtual_machine_test.go
@@ -75,6 +75,69 @@ func TestAccVSphereVirtualMachine_basic(t *testing.T) {
 	})
 }
 
+func TestAccVSphereVirtualMachine_diskInitType(t *testing.T) {
+	var vm virtualMachine
+	var locationOpt string
+	var datastoreOpt string
+
+	if v := os.Getenv("VSPHERE_DATACENTER"); v != "" {
+		locationOpt += fmt.Sprintf("    datacenter = \"%s\"\n", v)
+	}
+	if v := os.Getenv("VSPHERE_CLUSTER"); v != "" {
+		locationOpt += fmt.Sprintf("    cluster = \"%s\"\n", v)
+	}
+	if v := os.Getenv("VSPHERE_RESOURCE_POOL"); v != "" {
+		locationOpt += fmt.Sprintf("    resource_pool = \"%s\"\n", v)
+	}
+	if v := os.Getenv("VSPHERE_DATASTORE"); v != "" {
+		datastoreOpt = fmt.Sprintf("        datastore = \"%s\"\n", v)
+	}
+	template := os.Getenv("VSPHERE_TEMPLATE")
+	gateway := os.Getenv("VSPHERE_NETWORK_GATEWAY")
+	label := os.Getenv("VSPHERE_NETWORK_LABEL")
+	ip_address := os.Getenv("VSPHERE_NETWORK_IP_ADDRESS")
+
+	resource.Test(t, resource.TestCase{
+		PreCheck:     func() { testAccPreCheck(t) },
+		Providers:    testAccProviders,
+		CheckDestroy: testAccCheckVSphereVirtualMachineDestroy,
+		Steps: []resource.TestStep{
+			resource.TestStep{
+				Config: fmt.Sprintf(
+					testAccCheckVSphereVirtualMachineConfig_initType,
+					locationOpt,
+					gateway,
+					label,
+					ip_address,
+					datastoreOpt,
+					template,
+				),
+				Check: resource.ComposeTestCheckFunc(
+					testAccCheckVSphereVirtualMachineExists("vsphere_virtual_machine.thin", &vm),
+					resource.TestCheckResourceAttr(
+						"vsphere_virtual_machine.thin", "name", "terraform-test"),
+					resource.TestCheckResourceAttr(
+						"vsphere_virtual_machine.thin", "vcpu", "2"),
+					resource.TestCheckResourceAttr(
+						"vsphere_virtual_machine.thin", "memory", "4096"),
+					resource.TestCheckResourceAttr(
+						"vsphere_virtual_machine.thin", "disk.#", "2"),
+					resource.TestCheckResourceAttr(
+						"vsphere_virtual_machine.thin", "disk.0.template", template),
+					resource.TestCheckResourceAttr(
+						"vsphere_virtual_machine.thin", "disk.0.type", "thin"),
+					resource.TestCheckResourceAttr(
+						"vsphere_virtual_machine.thin", "disk.1.type", "eager_zeroed"),
+					resource.TestCheckResourceAttr(
+						"vsphere_virtual_machine.thin", "network_interface.#", "1"),
+					resource.TestCheckResourceAttr(
+						"vsphere_virtual_machine.thin", "network_interface.0.label", label),
+				),
+			},
+		},
+	})
+}
+
 func TestAccVSphereVirtualMachine_dhcp(t *testing.T) {
 	var vm virtualMachine
 	var locationOpt string
@@ -357,9 +420,9 @@ func testAccCheckVSphereVirtualMachineDestroy(s *terraform.State) error {
 			}
 		}
 
-		_, err = object.NewSearchIndex(client.Client).FindChild(context.TODO(), folder, rs.Primary.Attributes["name"])
+		v, err := object.NewSearchIndex(client.Client).FindChild(context.TODO(), folder, rs.Primary.Attributes["name"])
 
-		if err == nil {
+		if v != nil {
 			return fmt.Errorf("Record still exists")
 		}
 	}
@@ -525,6 +588,30 @@ resource "vsphere_virtual_machine" "foo" {
     }
 }
 `
+const testAccCheckVSphereVirtualMachineConfig_initType = `
+resource "vsphere_virtual_machine" "thin" {
+    name = "terraform-test"
+%s
+    vcpu = 2
+    memory = 4096
+    gateway = "%s"
+    network_interface {
+        label = "%s"
+        ipv4_address = "%s"
+        ipv4_prefix_length = 24
+    }
+    disk {
+%s
+        template = "%s"
+        iops = 500
+        type = "thin"
+    }
+    disk {
+        size = 1
+        iops = 500
+    }
+}
+`
 const testAccCheckVSphereVirtualMachineConfig_dhcp = `
 resource "vsphere_virtual_machine" "bar" {
     name = "terraform-test"
diff --git a/website/source/docs/providers/vsphere/r/virtual_machine.html.markdown b/website/source/docs/providers/vsphere/r/virtual_machine.html.markdown
index 008a0aed9..9812a0aed 100644
--- a/website/source/docs/providers/vsphere/r/virtual_machine.html.markdown
+++ b/website/source/docs/providers/vsphere/r/virtual_machine.html.markdown
@@ -68,6 +68,7 @@ The `disk` block supports:
 * `datastore` - (Optional) Datastore for this disk
 * `size` - (Required if template not provided) Size of this disk (in GB).
 * `iops` - (Optional) Number of virtual iops to allocate for this disk.
+* `type` - (Optional) 'eager_zeroed' (the default), or 'thin' are supported options.
 
 ## Attributes Reference