VA Mortgage Calculator
VA loans offer 0% down and no monthly mortgage insurance — but most borrowers pay a one-time funding fee of 1.25%–3.3%. This calculator applies the correct fee from your down payment and first-or-subsequent use, finances it if you choose, and shows the full monthly payment with taxes, insurance, and HOA.
Lifetime cost breakdown
How you compare
Your monthly payment (P&I) vs. recent homebuyers
Your rate vs. the market
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Get quotesHow VA loan payments work
A VA-backed mortgage is a normal amortizing loan with two twists. First, no down payment is required, so many borrowers finance 100% of the price. Second, instead of monthly mortgage insurance, the VA charges a one-time funding fee set by your down payment and whether you’ve used the benefit before: 2.15% (first use) or 3.3% (subsequent) with less than 5% down, 1.5% with 5%–9.99% down, and 1.25% with 10%+ down. Most people finance the fee, which slightly raises the balance and the payment; disabled veterans and certain surviving spouses are exempt.
How it’s calculated
Base loan = price − down payment. Funding fee = fee% × base loan, using the VA purchase schedule in effect since April 2023 (2.15%/3.3% under 5% down for first/subsequent use, 1.5% at 5%–9.99%, 1.25% at 10%+, 0% if exempt). If financed, loan = base + fee; otherwise it’s added to closing cash. P&I = L × r ÷ (1 − (1 + r)−n) with monthly rate r and n months. Escrow items (taxes, insurance, HOA) are divided monthly and held flat.
Estimates only — verify your fee tier, entitlement, and escrow with your lender; refinance (IRRRL/cash-out) fees differ from purchase fees.
Amortization by year
Principal and interest on the financed balance; escrow not included in this table.
Worked example
A $425,000 home with 0% down on a first-use VA loan carries a 2.15% funding fee: $9,137.50. Financed, the loan becomes $434,137.50. At 6.5% over 30 years, principal and interest run $2,744.04 a month; with $4,800 of taxes and $1,800 of insurance the full payment is about $3,294 a month, and lifetime interest totals roughly $553,718. The same purchase on subsequent use would owe a $14,025 fee — $4,887.50 more — while putting just 5% down drops the fee to 1.5% and the P&I to $2,590.25.
Common mistakes
- Forgetting the funding fee entirely — at 0% down it quietly adds about 2% to your balance.
- Using the first-use fee when this is a second VA loan; subsequent use at 0% down costs 3.3%, not 2.15%.
- Skipping the exemption check — veterans with service-connected disability ratings pay no fee at all.
- Comparing a VA quote to an FHA or conventional quote without adding their monthly mortgage insurance.
Where it is used
- Active-duty members and veterans pricing a purchase with 0%, 5%, or 10% down.
- Weighing financing the funding fee against paying it at closing.
- Comparing a VA offer against FHA and conventional side by side.
Frequently asked questions
What is the VA funding fee in 2026?
For purchase loans (VA schedule in effect since April 2023): with less than 5% down, 2.15% of the loan for first use and 3.30% for subsequent use; 1.50% with 5–9.99% down; 1.25% with 10% or more down — the same for first and repeat use once you put 5% or more down.
Who is exempt from the VA funding fee?
Veterans receiving (or eligible to receive) VA disability compensation, some surviving spouses, and Purple Heart recipients on active duty pay no funding fee. Select Exempt in the calculator to model that — it typically removes several thousand dollars from the loan.
Should I finance the funding fee or pay it in cash?
Most borrowers roll it into the loan, which preserves cash but means you pay interest on the fee for the whole term. On a $9,137.50 fee at 6.5% for 30 years, financing adds roughly $57.75 a month — about $20,800 in payments over the full term. Paying cash at closing avoids that if you have the funds.
Do VA loans require mortgage insurance?
No. VA loans have no monthly mortgage insurance (no PMI or MIP) — the one-time funding fee replaces it. That is a major cost advantage over FHA loans, whose annual MIP can run for the life of the loan, and over low-down conventional loans with PMI.
Is 0% down actually a good idea?
It gets you in sooner but means a bigger balance, a bigger funding fee percentage (2.15% vs 1.25% at 10% down), and more total interest. Even 5% down cuts the first-use fee from 2.15% to 1.50% and lowers the payment — worth modeling both ways in the calculator.