VA Loan Mortgage Calculator - Calculate VA Loan Payment

VA Loan Calculator - Calculate VA Mortgage Payment

Calculate your VA loan payment with our free VA mortgage calculator. Includes VA funding fee calculation, shows no PMI advantage, and helps estimate your total monthly payment.

What is a VA Loan?

A VA Loan is a mortgage program guaranteed by the U.S. Department of Veterans Affairs that helps eligible veterans, active-duty service members, and surviving spouses purchase homes with favorable terms.

Key Benefits:

• 0% Down Payment - No down payment required
• No PMI - Private Mortgage Insurance not required
• Competitive Rates - Often below conventional rates
• Flexible Credit - More lenient credit requirements
• Limited Closing Costs - VA limits what lenders can charge
• No Prepayment Penalty - Pay off early without penalty

VA Funding Fee

What is the Funding Fee?

• One-time fee paid to the VA
• Helps cover the cost of the VA loan program
• Can be rolled into the loan (not required upfront)
• Varies by down payment, military status, and prior usage

2024 VA Funding Fee Rates:

Down Payment	First Use	Subsequent Use
0% - 4.99%	2.15%	3.3%
5% - 9.99%	1.5%	1.5%
10%+	1.25%	1.25%

Reserves/National Guard Rates:

• 0% down: 2.15% (first), 3.5% (subsequent)
• 5-9.99% down: 1.75% (first), 2.5% (subsequent)
• 10%+ down: 1.5% (first and subsequent)

Exemptions:

• Veterans with 10%+ service-connected disability
• Purple Heart recipients
Surviving spouses of service members who died in service

No PMI Advantage

VA Loans Do Not Require PMI!

This is one of the biggest advantages of VA loans compared to other low-down-payment options.

Comparison: $400,000 Home

Loan Type	Down	Monthly PMI/Fee	Total Monthly*
VA	0%	$0 (no PMI)	$2,528
FHA	3.5%	$233 (MIP)	$2,861
Conventional	5%	$250 (PMI)	$2,778

*At 6.5% interest, 30-year term, includes taxes & insurance

Monthly Savings:

• VA vs FHA: $333/month savings
• VA vs Conventional: $250/month savings
• Over 10 years: $30,000-$40,000 savings!

Eligibility Requirements

Who is Eligible?

• Veterans: Served on active duty and discharged under conditions other than dishonorable
• Active Duty: Generally 90 days during wartime or 181 days during peacetime
• Reserves/National Guard: 6 years of service, or discharged under honorable conditions
• Surviving Spouses: Spouses of service members who died in the line of duty or from service-connected disabilities

Service Requirements:

Era	Minimum Service
WWII	90 days
Korean War	90 days
Vietnam War	90 days
Gulf War	2 years (or 90 days if called to active duty)
Peacetime	181 days of continuous service

Certificate of Eligibility (COE):

• Required before closing
• Apply through VA's eBenefits portal
• Lender can often obtain for you
• Proof of service required (DD-214, statement of service)

VA Loan Limits

Effective 2020:

• No loan limits for full entitlement borrowers
• Can borrow as much as lender approves based on income/credit
• Previous limit: $766,550 (varies by county)
• Limit still applies to borrowers with partial entitlement

What This Means:

• No cap on loan amount for eligible borrowers
• Still must qualify based on income/debt ratios
• Down payment required if loan exceeds lender guidelines

How to Use This Calculator

Step 1: Enter Home Price

• The purchase price of the home
• No maximum loan limit for most borrowers

Step 2: Enter Down Payment

• VA allows 0% down
• You can still make a down payment if desired
• Down payment reduces funding fee

Step 3: Enter Interest Rate

• Current VA loan rates
• Check with VA-approved lenders

Step 4: Enter Your Service Info

• Service status (Regular vs. Reserve/Guard)
• First-time or subsequent use
• Disability rating (if any)

Step 5: View Results

• See your funding fee amount
• View monthly payment breakdown
• Compare with other loan types

Example Calculation

Scenario:

• Home Price: $400,000
• Down Payment: $0
• Interest Rate: 6.5%
• Term: 30 years
• Service: Regular military, first-time use
• Property Tax: $4,800/year
• Insurance: $1,800/year

Calculation:

Base Loan: $400,000
VA Funding Fee (2.15%): $8,600
Total Financed: $408,600

Monthly Principal & Interest: $2,584
Monthly Property Tax: $400
Monthly Insurance: $150
Total Monthly Payment: $3,134
(NO PMI!)

With 10% Down Payment:

Base Loan: $360,000
VA Funding Fee (1.5%): $5,400
Total Financed: $365,400

Monthly Principal & Interest: $2,309
Monthly Property Tax: $400
Monthly Insurance: $150
Total Monthly Payment: $2,859

VA Loan Pros and Cons

Advantages:

• 0% down payment
• No PMI required
• Competitive interest rates
• Flexible credit requirements
• Limited closing costs
• Funding fee can be financed
• No prepayment penalty
• Assumption allowed (buyer can take over loan)

Disadvantages:

• Funding fee required (unless exempt)
• Property must meet VA minimum property requirements
• Must occupy as primary residence
• Longer closing times sometimes
• Lender may have additional overlays
• Not all lenders offer VA loans

Property Requirements

VA Minimum Property Requirements (MPRs):

• Safe, sanitary, and structurally sound
• Adequate heating system
• Safe drinking water
• Working electrical system
• Roof in good condition
• Wood-destroying pest inspection required
• No health or safety hazards

Eligible Properties:

• Single-family homes
• Condos (VA-approved)
• Townhouses
• Manufactured homes (permanently affixed)
• Multi-unit up to 4 units (must live in one)