VA Mortgage Calculator

Calculate your VA loan monthly payment with zero down payment and no private mortgage insurance. See the VA funding fee based on first or subsequent use, disability exemption status, and down payment level. Get the full breakdown including property tax and homeowner insurance for a complete monthly cost picture.

Guides & Reference

How It Works

VA Funding FeeOne-time charge or financed

The funding fee depends on down payment percentage, first or subsequent use, and disability status. It can be paid at closing or rolled into the loan amount. Disability-exempt veterans pay zero funding fee.

Fee = Loan Amount x Funding Fee Rate$350K loan, first use, 0% down: $350K x 2.15% = $7,525
Total Loan AmountPrincipal plus financed fees

The total loan equals the home price minus down payment plus the funding fee if financed. This is the amount used to calculate the monthly P&I payment.

Total Loan = (Home Price - Down Payment) + Funding Fee$350K - $0 + $7,525 = $357,525 total loan
Monthly P&IPrincipal and interest payment

Calculated using standard amortization on the total loan amount including the financed funding fee. VA loans use the same math as conventional loans for payment calculation.

P&I = Loan x r(1+r)^n / [(1+r)^n - 1]$357,525 at 5.75% for 30yr = $2,086/mo
No PMI AdvantageMajor VA benefit

Conventional loans with less than 20% down require PMI, typically 0.5% to 1% of the loan annually. VA loans never require PMI regardless of down payment, saving $150 to $300 per month on a $350,000 loan.

PMI savings = Loan x 0.5-1% / 12 per month$350K conventional PMI ≈ $146-$292/mo; VA = $0
Total Monthly PaymentFull housing cost

Combine P&I with property tax and homeowner insurance for the complete monthly cost. Unlike FHA, there is no monthly mortgage insurance premium to add.

Total = P&I + Tax/12 + Insurance/12$2,086 + $350 + $146 = $2,582/mo total
Down Payment ImpactReduce funding fee

While VA allows zero down, making a down payment reduces the funding fee significantly. Going from 0% to 5% down cuts the fee from 2.15% to 1.5%. At 10% or more, it drops to 1.25%.

Higher down = lower funding fee rate5% down on $350K: fee drops from $7,525 to $4,988

Quick Reference

Common examples — verify instantly above.

$350K, 0% down

VA funding fee (1st use)

$7,525 (2.15%)

$350K, 5% down

VA funding fee (1st use)

$4,988 (1.5%)

$350K, 0% down

P&I at 5.75%, 30yr

$2,086/mo

No PMI savings

vs conventional $350K

~$150-$292/mo saved

Disability exempt

Funding fee

$0 (waived)

Subsequent use

$350K, 0% down fee

$11,550 (3.3%)

$250K, 0% down

P&I at 5.75%, 30yr

$1,459/mo

15yr vs 30yr

$350K at 5.75%

$2,917 vs $2,086/mo

Tips & Shortcuts

If you have a VA disability rating, always apply for the funding fee exemption before closing. The savings on a $350,000 loan is over $7,500.

Even though VA allows zero down, consider putting 5% or more down to reduce the funding fee and start with instant equity in the home.

VA loans have no maximum loan amount for veterans with full entitlement, so you can finance expensive homes without a jumbo loan premium.

Compare VA rates from multiple lenders — the VA does not set interest rates, and they vary significantly between lenders even for identical borrowers.

VA loans are assumable. If rates rise in the future, your below-market VA rate becomes a powerful selling feature for your home.

Use the VA Interest Rate Reduction Refinance Loan (IRRRL) to streamline refinancing with minimal paperwork if rates drop after your purchase.

Common Mistakes to Avoid

Assuming all veterans automatically get zero funding fee

Only veterans with a service-connected disability rating, Purple Heart recipients on active duty, and eligible surviving spouses are exempt. All other eligible veterans pay the funding fee.

Forgetting that subsequent use has a much higher funding fee

Second-time VA loan users with zero down pay 3.3% versus 2.15% for first use. That is an extra $4,025 on a $350,000 loan. Making a 5% down payment drops both to 1.5%.

Not comparing VA with conventional when credit score is high

If your credit score is 740 or higher and you can put 20% down, a conventional loan may have a lower total cost since you avoid both PMI and the VA funding fee.

Ignoring property tax and insurance in the budget

The VA payment is just P&I. Add property tax (typically 1% to 2% of home value) and insurance (0.3% to 0.5%) for the real monthly cost. These can add $300 to $600 per month.

Using VA entitlement for an investment property

VA loans are for primary residences only. Using a VA loan to purchase a property you do not intend to live in violates the terms and can result in the loan being called due immediately.

Skipping the VA appraisal requirements

VA requires a VA-specific appraisal that checks both value and minimum property requirements. Homes with safety or structural issues may not qualify for VA financing without repairs.

Frequently Asked Questions

The VA funding fee is a one-time charge paid at closing or financed into the loan. For first-time use with zero down, it is 2.15% of the loan amount. With 5% down it drops to 1.5%, and with 10% or more down it is 1.25%. Subsequent use without sufficient down payment carries a higher fee of 3.3%.

Veterans receiving VA disability compensation, Purple Heart recipients on active duty, and surviving spouses receiving Dependency and Indemnity Compensation are exempt from the funding fee. This exemption saves thousands of dollars upfront.

Yes. VA loans allow 100% financing with no down payment required and no PMI. The VA guarantees a portion of the loan, which allows lenders to offer these favorable terms to eligible veterans and service members.

VA loan rates are typically 0.25% to 0.50% lower than conventional rates because the VA guarantee reduces lender risk. Combined with no PMI, this makes VA loans one of the most affordable home financing options available.

For veterans with full entitlement, there is no VA loan limit. You can borrow as much as a lender approves without a down payment. For veterans with reduced entitlement, county-specific conforming loan limits apply.

Yes. VA loan entitlement can be restored and reused multiple times. However, subsequent use carries a higher funding fee of 3.3% with zero down versus 2.15% for first use. The fee can be reduced by making a down payment.

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