VA Mortgage Calculator
- Updated
- Formula shown
- Free, no sign-up
Results
VA loan payment $2,974.76 a month on a $408,600 loan; funding fee $8,600 (2.15%).
- Principal and interest
- $2,449.76
- Property tax
- $400.00
- Home insurance
- $125.00
| Year | Principal | Interest | Total paid | Balance |
|---|---|---|---|---|
| 1 | $5,018 | $24,380 | $29,397 | $403,582 |
| 2 | $5,327 | $24,070 | $29,397 | $398,255 |
| 3 | $5,656 | $23,741 | $29,397 | $392,600 |
| 4 | $6,005 | $23,393 | $29,397 | $386,595 |
| 5 | $6,375 | $23,022 | $29,397 | $380,220 |
| 6 | $6,768 | $22,629 | $29,397 | $373,452 |
| 7 | $7,186 | $22,212 | $29,397 | $366,267 |
| 8 | $7,629 | $21,768 | $29,397 | $358,638 |
| 9 | $8,099 | $21,298 | $29,397 | $350,539 |
| 10 | $8,599 | $20,798 | $29,397 | $341,940 |
Funding fee rates: VA.gov, VA funding fee and loan closing costs, effective April 7, 2023 (checked October 2026). You are exempt if, for example, you receive VA disability compensation or are a surviving spouse receiving DIC. Your Certificate of Eligibility shows your status.
How to use the VA mortgage calculator
- Enter the home price and any down payment. VA loans allow 0% down if you have full entitlement and the price is within what the lender approves.
- Enter the interest rate and term.
- Choose first use or subsequent use, mark the fee as exempt if your Certificate of Eligibility says so, and choose whether to add the fee to the loan.
- Add property tax, insurance and HOA dues to see the full monthly payment, then open the yearly schedule.
VA funding fee formula
Funding fee = base loan × fee rate (by use and down payment %)
Loan amount = base loan + funding fee (if financed)
Payment = loan × r(1 + r)n ÷ ((1 + r)n − 1)
The fee rate depends on two things: whether you have used a VA home loan before, and your down payment as a percentage of the price. It is charged once, at closing, on the amount you borrow. Most borrowers add it to the loan, so it is repaid with interest over the term. r is the annual rate ÷ 12 and n is the number of monthly payments.
Worked example
A first-time VA borrower buys a $400,000 home with nothing down. The funding fee is $400,000 × 2.15% = $8,600, and adding it to the loan gives $408,600. At 6% for 30 years, principal and interest are $2,449.76. With $4,800 of property tax and $1,500 of insurance a year, the total is $2,974.76 a month.
Paying the fee in cash instead lowers the payment to $2,398.20 and saves $9,962 of interest over 30 years. A veteran on a second VA loan with no down payment pays 3.3%, or $13,200. A veteran with a disability rating who is exempt pays no fee, so the payment matches the cash case at $2,398.20.
VA funding fee rates
Source: VA.gov, VA funding fee and loan closing costs. Rates effective April 7, 2023, checked October 19, 2026.
| Loan type | Down payment | First use | After first use |
|---|---|---|---|
| Purchase or construction | Less than 5% | 2.15% | 3.3% |
| Purchase or construction | 5% or more | 1.5% | 1.5% |
| Purchase or construction | 10% or more | 1.25% | 1.25% |
| Cash-out refinance | Any | 2.15% | 3.3% |
| Interest rate reduction refinance (IRRRL) | Any | 0.5% | 0.5% |
If your only earlier VA loan was for a manufactured home, VA still charges you the first-use rate.
Funding fee on a $400,000 home
| Down payment | Fee, first use | Fee, subsequent use | P&I, first use (6%, 30 yr) |
|---|---|---|---|
| $0.00 (0%) | $8,600 (2.15%) | $13,200 (3.3%) | $2,449.76 |
| $20,000 (5%) | $5,700 (1.5%) | $5,700 (1.5%) | $2,312.47 |
| $40,000 (10%) | $4,500 (1.25%) | $4,500 (1.25%) | $2,185.36 |
Who doesn't pay the funding fee
- You receive VA compensation for a service-connected disability.
- You are eligible for that compensation but receive retirement or active-duty pay instead.
- You receive Dependency and Indemnity Compensation (DIC) as a surviving spouse.
- You are a service member with a proposed or memorandum disability rating issued before closing.
- You are an active-duty service member who provides evidence of a Purple Heart on or before closing.
If you are awarded compensation after closing with an effective date before closing, you may be able to get the fee refunded. Ask VA or your lender.
Tips for VA borrowers
- Get your Certificate of Eligibility early. It confirms your entitlement and shows whether you are exempt from the funding fee.
- 5% down is the big step. On a subsequent-use loan, 5% down cuts the fee from 3.3% to 1.5%. On a $400,000 home that is $7,500 less in fees, on top of borrowing $20,000 less.
- Closing costs still apply. They vary by lender. Sellers can credit you toward closing costs, and VA limits seller concessions to 4% of the home's reasonable value. Plan for the cash with the down payment calculator.
- Compare loan types. If you have 20% down and strong credit, a conventional loan has no funding fee and no PMI. Run the numbers in the mortgage calculator and the FHA loan calculator too.
Frequently asked questions
How much is the VA funding fee?
For purchase loans it is 2.15% of the loan on first use with less than 5% down, 3.3% on later use with less than 5% down, 1.5% with 5% or more down and 1.25% with 10% or more down. These are VA.gov rates effective April 7, 2023.
What is the payment on a $400,000 VA loan with no down payment?
On first use the funding fee is $8,600, so financing it makes the loan $408,600. At 6% for 30 years, principal and interest are $2,449.76 a month, before property tax and insurance.
Who is exempt from the VA funding fee?
Veterans receiving VA compensation for a service-connected disability (or eligible for it but receiving retirement or active-duty pay instead), surviving spouses receiving Dependency and Indemnity Compensation, service members with a proposed or memorandum rating before closing, and active-duty members with a Purple Heart.
Should I pay the VA funding fee in cash or finance it?
Financing keeps cash in your pocket but you pay interest on the fee. On the $400,000 example, paying the $8,600 in cash lowers the payment by $51.56 a month and saves about $9,960 of interest over 30 years.
Do VA loans have mortgage insurance?
No. VA loans have no monthly mortgage insurance at any down payment, unlike FHA loans and conventional loans with less than 20% down. The one-time funding fee takes its place, and many disabled veterans are exempt from it.