diff --git a/util_test_helper.go b/util_test_helper.go
index 8811b93..994633d 100644
--- a/util_test_helper.go
+++ b/util_test_helper.go
@@ -5,7 +5,7 @@ import (
 	"fmt"
 	"math/rand"
 	"os"
-	"strings"
+	"regexp"
 	"testing"
 	"time"
 
@@ -436,8 +436,10 @@ type testHelper struct {
 	username                 string
 }
 
+var resourceNameRe = regexp.MustCompile(`[^a-zA-Z\d_.-]`)
+
 func (t *testHelper) GenerateTestResourceName(test *testing.T) string {
-	return strings.ReplaceAll(fmt.Sprintf("%s-%s", test.Name(), t.GenerateRandomID(5)), "/", "_")
+	return resourceNameRe.ReplaceAllString(fmt.Sprintf("%s-%s", test.Name(), t.GenerateRandomID(5)), "_")
 }
 
 func (t *testHelper) GetUsername() string {
diff --git a/vm.go b/vm.go
index 86d7daf..4612f83 100644
--- a/vm.go
+++ b/vm.go
@@ -213,9 +213,8 @@ type VMData interface {
 	CPU() VMCPU
 	// Memory return the Memory of a VM in Bytes.
 	Memory() int64
-	// MemoryPolicy returns the memory policy set on the VM, if any. The second parameter returned is true if the
-	// memory policy is set.
-	MemoryPolicy() (MemoryPolicy, bool)
+	// MemoryPolicy returns the memory policy set on the VM.
+	MemoryPolicy() MemoryPolicy
 	// TagIDs returns a list of tags for this VM.
 	TagIDs() []TagID
 	// HugePages returns the hugepage settings for the VM, if any.
@@ -1120,6 +1119,7 @@ func (v vmPlacementPolicyParameters) MustWithHostIDs(hostIDs []HostID) Buildable
 type MemoryPolicyParameters interface {
 	Guaranteed() *int64
 	Max() *int64
+	Ballooning() *bool
 }
 
 // BuildableMemoryPolicyParameters is a buildable version of MemoryPolicyParameters.
@@ -1131,6 +1131,9 @@ type BuildableMemoryPolicyParameters interface {
 
 	WithMax(max int64) (BuildableMemoryPolicyParameters, error)
 	MustWithMax(max int64) BuildableMemoryPolicyParameters
+
+	WithBallooning(ballooning bool) (BuildableMemoryPolicyParameters, error)
+	MustWithBallooning(ballooning bool) BuildableMemoryPolicyParameters
 }
 
 // NewMemoryPolicyParameters creates a new instance of BuildableMemoryPolicyParameters.
@@ -1141,6 +1144,24 @@ func NewMemoryPolicyParameters() BuildableMemoryPolicyParameters {
 type memoryPolicyParameters struct {
 	guaranteed *int64
 	max        *int64
+	ballooning *bool
+}
+
+func (m *memoryPolicyParameters) Ballooning() *bool {
+	return m.ballooning
+}
+
+func (m *memoryPolicyParameters) WithBallooning(ballooning bool) (BuildableMemoryPolicyParameters, error) {
+	m.ballooning = &ballooning
+	return m, nil
+}
+
+func (m *memoryPolicyParameters) MustWithBallooning(ballooning bool) BuildableMemoryPolicyParameters {
+	builder, err := m.WithBallooning(ballooning)
+	if err != nil {
+		panic(err)
+	}
+	return builder
 }
 
 func (m *memoryPolicyParameters) MustWithGuaranteed(guaranteed int64) BuildableMemoryPolicyParameters {
@@ -1183,11 +1204,18 @@ type MemoryPolicy interface {
 	Guaranteed() *int64
 	// Max returns the maximum amount of memory given to the VM.
 	Max() *int64
+	// Ballooning returns true if the VM can give back the memory it is not using to the host OS.
+	Ballooning() bool
 }
 
 type memoryPolicy struct {
 	guaranteed *int64
 	max        *int64
+	ballooning bool
+}
+
+func (m memoryPolicy) Ballooning() bool {
+	return m.ballooning
 }
 
 func (m memoryPolicy) Max() *int64 {
@@ -1806,8 +1834,8 @@ func (v *vm) PlacementPolicy() (VMPlacementPolicy, bool) {
 	return v.placementPolicy, v.placementPolicy != nil
 }
 
-func (v *vm) MemoryPolicy() (MemoryPolicy, bool) {
-	return v.memoryPolicy, v.memoryPolicy != nil
+func (v *vm) MemoryPolicy() MemoryPolicy {
+	return v.memoryPolicy
 }
 
 func (v *vm) WaitForIPAddresses(params VMIPSearchParams, retries ...RetryStrategy) (map[string][]net.IP, error) {
@@ -2080,21 +2108,29 @@ func vmInstanceTypeIDConverter(object *ovirtsdk.Vm, v *vm) error {
 }
 
 func vmMemoryPolicyConverter(object *ovirtsdk.Vm, v *vm) error {
-	if memPolicy, ok := object.MemoryPolicy(); ok {
-		resultMemPolicy := &memoryPolicy{}
-		if guaranteed, ok := memPolicy.Guaranteed(); ok {
-			if guaranteed < -1 {
-				return newError(
-					EBug,
-					"the engine returned a negative guaranteed memory value for VM %s (%d)",
-					object.MustId(),
-					guaranteed,
-				)
-			}
-			resultMemPolicy.guaranteed = &guaranteed
+	memPolicy, ok := object.MemoryPolicy()
+	if !ok {
+		return newFieldNotFound("vm", "memory policy")
+	}
+	resultMemPolicy := &memoryPolicy{}
+	if guaranteed, ok := memPolicy.Guaranteed(); ok {
+		if guaranteed < -1 {
+			return newError(
+				EBug,
+				"the engine returned a negative guaranteed memory value for VM %s (%d)",
+				object.MustId(),
+				guaranteed,
+			)
 		}
-		v.memoryPolicy = resultMemPolicy
+		resultMemPolicy.guaranteed = &guaranteed
+	}
+	if max, ok := memPolicy.Max(); ok {
+		resultMemPolicy.max = &max
+	}
+	if ballooning, ok := memPolicy.Ballooning(); ok {
+		resultMemPolicy.ballooning = ballooning
 	}
+	v.memoryPolicy = resultMemPolicy
 	return nil
 }
 
diff --git a/vm_create.go b/vm_create.go
index 78f2675..1f91d10 100644
--- a/vm_create.go
+++ b/vm_create.go
@@ -226,6 +226,9 @@ func vmBuilderMemoryPolicy(params OptionalVMParameters, builder *ovirtsdk.VmBuil
 		if max := (*memPolicyParams).Max(); max != nil {
 			memoryPolicyBuilder.Max(*max)
 		}
+		if ballooning := (*memPolicyParams).Ballooning(); ballooning != nil {
+			memoryPolicyBuilder.Ballooning(*ballooning)
+		}
 		builder.MemoryPolicyBuilder(memoryPolicyBuilder)
 	}
 }
@@ -412,19 +415,20 @@ func (m *mockClient) createVMMemory(params OptionalVMParameters) int64 {
 }
 
 func (m *mockClient) createVMMemoryPolicy(params OptionalVMParameters) *memoryPolicy {
-	var memPolicy *memoryPolicy
+	memPolicy := &memoryPolicy{
+		ballooning: true,
+	}
 	if memoryPolicyParams := params.MemoryPolicy(); memoryPolicyParams != nil {
-		var guaranteed *int64
 		if guaranteedMemory := (*memoryPolicyParams).Guaranteed(); guaranteedMemory != nil {
-			guaranteed = guaranteedMemory
+			memPolicy.guaranteed = guaranteedMemory
 		}
-		var max *int64
+
 		if maxMemory := (*memoryPolicyParams).Max(); maxMemory != nil {
-			max = maxMemory
+			memPolicy.max = maxMemory
 		}
-		memPolicy = &memoryPolicy{
-			guaranteed,
-			max,
+
+		if memBallooning := (*memoryPolicyParams).Ballooning(); memBallooning != nil {
+			memPolicy.ballooning = *memBallooning
 		}
 	}
 	return memPolicy
diff --git a/vm_test.go b/vm_test.go
index 667070b..41950f5 100644
--- a/vm_test.go
+++ b/vm_test.go
@@ -471,6 +471,22 @@ func TestVMCreationWithSparseDisks(t *testing.T) {
 	)
 }
 
+func TestMemoryPolicyDefaults(t *testing.T) {
+	helper := getHelper(t)
+	vm := assertCanCreateVM(
+		t,
+		helper,
+		helper.GenerateTestResourceName(t),
+		nil,
+	)
+	// Test if memory policy is correctly set
+	memoryPolicy := vm.MemoryPolicy()
+	if memoryPolicy == nil {
+		t.Fatalf("Memory policy was not set.")
+	}
+
+}
+
 func TestGuaranteedMemory(t *testing.T) {
 	helper := getHelper(t)
 	expectedGuaranteed := int64(2 * 1024 * 1024 * 1024)
@@ -486,10 +502,7 @@ func TestGuaranteedMemory(t *testing.T) {
 					MustWithGuaranteed(expectedGuaranteed),
 			).MustWithMemory(expectedGuaranteed),
 	)
-	memoryPolicy, ok := vm.MemoryPolicy()
-	if !ok {
-		t.Fatalf("Memory policy is not set on VM.")
-	}
+	memoryPolicy := vm.MemoryPolicy()
 	guaranteed := memoryPolicy.Guaranteed()
 	if guaranteed == nil {
 		t.Fatalf("Guaranteed memory is not set on VM.")
@@ -514,10 +527,7 @@ func TestMaxMemory(t *testing.T) {
 					MustWithMax(expectedMax),
 			).MustWithMemory(expectedMax),
 	)
-	memoryPolicy, ok := vm.MemoryPolicy()
-	if !ok {
-		t.Fatalf("Memory policy is not set on VM.")
-	}
+	memoryPolicy := vm.MemoryPolicy()
 	max := memoryPolicy.Max()
 	if max == nil {
 		t.Fatalf("Guaranteed memory is not set on VM.")
@@ -527,6 +537,58 @@ func TestMaxMemory(t *testing.T) {
 	}
 }
 
+func TestBallooning(t *testing.T) {
+	truePointer := true
+	falsePointer := false
+	testCases := []struct {
+		name     string
+		set      *bool
+		expected bool
+	}{
+		{
+			"empty",
+			nil,
+			true,
+		},
+		{
+			"true",
+			&truePointer,
+			true,
+		},
+		{
+			"false",
+			&falsePointer,
+			false,
+		},
+	}
+
+	for _, testCase := range testCases {
+		t.Run(fmt.Sprintf("ballooning=%s", testCase.name), func(t *testing.T) {
+			helper := getHelper(t)
+			params := ovirtclient.NewCreateVMParams()
+			if testCase.set != nil {
+				params = params.WithMemoryPolicy(
+					ovirtclient.
+						NewMemoryPolicyParameters().
+						MustWithBallooning(*testCase.set),
+				)
+			}
+			vm := assertCanCreateVM(
+				t,
+				helper,
+				helper.GenerateTestResourceName(t),
+				params,
+			)
+			memoryPolicy := vm.MemoryPolicy()
+			ballooning := memoryPolicy.Ballooning()
+			if ballooning != testCase.expected {
+				t.Fatalf("Incorrect ballooning value")
+			}
+		})
+	}
+
+}
+
 func checkVMDiskSparseness(t *testing.T, checkVM ovirtclient.VM, sparse bool, message string) {
 	t.Helper()
 	diskAttachments, err := checkVM.ListDiskAttachments()