VA Loan Calculator
Enter your home price, down payment, interest rate, and service details to get your estimated VA loan monthly payment, your funding fee (or exemption), the full principal-interest-taxes-insurance total, and a year-by-year payoff chart. The calculator uses the current VA funding fee table (rates effective April 7, 2023) and updates every input instantly.
What is a VA loan and who qualifies?
A VA loan is a mortgage guaranteed by the U.S. Department of Veterans Affairs for eligible service members, veterans, and surviving spouses. Because the VA guarantees a portion of each loan, lenders can offer terms that are usually better than those on conventional mortgages: no down payment required, no private mortgage insurance (PMI), and competitive interest rates that are typically 0.25-0.50 % lower than conventional rates. To qualify you generally need at least 90 days of active duty service during wartime, 181 days during peacetime, or six years in the Selected Reserve or National Guard. You also need a Certificate of Eligibility (COE), which you can request through your lender or the VA website.
How the VA funding fee works
The VA funding fee is a one-time charge that helps sustain the VA loan program for future borrowers. The rate depends on the loan type, whether it is your first or a later use of the VA benefit, and your down payment. The Blue Water Navy Vietnam Veterans Act of 2019 eliminated the separate Reserve and National Guard rates as of January 1, 2020, so Veterans, active-duty service members, and Guard/Reserve members all pay the same percentages. For a purchase with less than 5 % down, first use is 2.15 % and any later use is 3.30 %. Putting down 5 % or more drops the fee to 1.50 %, and 10 % or more drops it to 1.25 %, and those two tiers are identical whether it is your first use or not. Cash-out refinances have no down-payment tiers: 2.15 % first use, 3.30 % after that. An IRRRL is always 0.50 %. Veterans with a service-connected disability rating of 10 % or more and surviving spouses are fully exempt from the fee. You can pay the fee at closing or roll it into the loan; rolling it in increases your monthly payment slightly but eliminates the upfront cost.
Understanding your monthly payment breakdown
A VA loan payment typically has four components, abbreviated PITI: Principal (reducing your loan balance), Interest (the lender's charge for the loan), Taxes (your share of annual property taxes collected monthly into escrow), and Insurance (homeowners insurance and, if applicable, HOA dues). VA loans do not require PMI, which is a significant saving: on a $300,000 conventional loan at 80 % LTV, PMI can run $100-200 per month. Over 30 years that is $36,000-$72,000 in premiums a VA-eligible borrower avoids. Making extra monthly payments applies directly to your principal balance, cutting both the total interest paid and the number of months you carry the loan.
VA loan limits and entitlement
Since 2020, VA loan limits for borrowers with full entitlement have been eliminated. This means eligible veterans with full entitlement can borrow as much as a VA-approved lender will approve without a maximum cap, and still put 0 % down. If you have used your VA benefit before and still have an outstanding VA loan, you may have reduced (partial) entitlement, which can limit how much you can borrow without a down payment. The VA's Guaranty Percentage Calculator on the VA website can compute your remaining entitlement in those cases.
VA funding fee rates (effective April 7, 2023)
| Loan type | Down payment | First use | After first use |
|---|---|---|---|
| Purchase | Less than 5 % | 2.15 % | 3.30 % |
| Purchase | 5 %-9.99 % | 1.50 % | 1.50 % |
| Purchase | 10 % or more | 1.25 % | 1.25 % |
| Cash-out refinance | Any | 2.15 % | 3.30 % |
| IRRRL (streamline refi) | Any | 0.50 % | 0.50 % |
| Exempt (10 %+ disability rating, surviving spouse) | Any | 0 % | 0 % |
One table covers Veterans, active-duty service members, and National Guard/Reserve members: the separate Reserve rates ended January 1, 2020. Cash-out refinances have no down-payment tiers. IRRRL (streamline refi) is always 0.50 %. Veterans with 10 %+ service-connected disability and surviving spouses are exempt.
Frequently asked questions
Can I really buy a home with 0 % down on a VA loan?
Yes. The VA guarantee allows approved lenders to offer no-down-payment purchase loans to eligible veterans, service members, and qualifying surviving spouses. There is no minimum down payment requirement, though putting money down reduces your loan balance and lowers your funding fee rate.
Do VA loans require mortgage insurance (PMI)?
No. VA loans have no private mortgage insurance requirement regardless of how small your down payment is. This is one of the biggest advantages over FHA and conventional loans, which require PMI when you put down less than 20 %. The VA funding fee serves a similar program-sustaining purpose but is a one-time charge rather than a recurring monthly premium.
How is the VA funding fee calculated?
The funding fee is a percentage of the base loan amount (home price minus down payment). The rate depends on the loan type, whether it is your first or a later use of the VA benefit, and your down payment percentage. Since January 1, 2020 there is no separate rate for Reserve or National Guard members. For a purchase with no down payment, the rate is 2.15 % on first use and 3.30 % on any later use; on a $300,000 loan that is $6,450 or $9,900. Put 5 % down and the fee is 1.50 % either way; 10 % down and it is 1.25 %. Veterans with a 10 %+ service-connected disability rating and surviving spouses of veterans who died in service pay no fee.
What is the difference between a VA IRRRL and a regular VA refinance?
An IRRRL (Interest Rate Reduction Refinance Loan), also called a streamline refinance, lets you refinance an existing VA loan to a lower interest rate with minimal paperwork and no new appraisal in most cases. The IRRRL funding fee is only 0.50 %, versus 2.15 %-3.30 % for a cash-out refinance. A cash-out VA refinance replaces your existing mortgage (VA or non-VA) with a new VA loan and can provide cash from your equity.
How does making extra monthly payments affect my VA loan?
Extra payments go entirely toward your principal balance, reducing the amount that accrues interest each month. On a 30-year, $350,000 VA loan at 6.5 %, an extra $200 per month saves roughly $68,000 in interest and cuts about 6 years off the payoff schedule. The calculator shows your specific savings in the "Payoff with extra payment" output.
Is the VA loan rate always lower than conventional rates?
VA loan rates are historically 0.25-0.50 % lower than comparable 30-year conventional rates because the VA guarantee reduces lender risk. However, your actual rate depends on your credit score, lender, loan amount, and market conditions. Shopping at least two or three VA-approved lenders is the best way to ensure you are getting a competitive rate.