VA Loan Calculator
Calculate VA home loan payments, funding fees, and compare against conventional mortgages. See your PMI savings and eligibility benefits.
First-time use, less than 5% down
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About This Calculator
The VA Loan Calculator helps veterans, active-duty service members, and eligible surviving spouses estimate monthly payments for VA-guaranteed home loans. With zero down payment, no private mortgage insurance (PMI), and rates around 5.25% APR as of January 2026 (Navy Federal), VA loans offer unmatched value. The one-time funding fee of 2.15% for first-time users (3.30% subsequent use) is waived entirely for veterans with 10%+ VA disability rating. Since 2019, veterans with full entitlement have NO loan limits—you can buy at any price point with zero down. This calculator factors in the funding fee, shows your true monthly payment, and compares VA loan costs to conventional financing.
How to Use the VA Loan Calculator
- 1Enter the home purchase price or loan amount for your new home.
- 2Input your expected interest rate—VA rates typically run 0.25-0.5% below conventional (around 5.25% as of Jan 2026).
- 3Select your loan term: 30 years for lowest payments or 15 years for significant interest savings.
- 4Indicate if this is your first VA loan use or a subsequent use (affects funding fee percentage).
- 5Enter your down payment amount if applicable—5%+ reduces the funding fee significantly.
- 6Check if you are exempt from the funding fee (10%+ VA disability rating, Purple Heart, surviving spouse).
- 7Review your monthly payment breakdown including principal, interest, property taxes, and insurance.
2026 VA Funding Fee Rates
The VA funding fee is a one-time payment that helps sustain the VA loan program. Rates vary by loan type, down payment, and usage:
Purchase Loans - First-Time Use (VA.gov):
| Down Payment | Funding Fee |
|---|---|
| 0% down | 2.15% |
| 5% - 9.99% down | 1.50% |
| 10% or more down | 1.25% |
Purchase Loans - Subsequent Use:
| Down Payment | Funding Fee |
|---|---|
| 0% down | 3.30% |
| 5% - 9.99% down | 1.50% |
| 10% or more down | 1.25% |
Other VA Loan Types:
| Loan Type | Funding Fee |
|---|---|
| IRRRL (Streamline Refinance) | 0.50% |
| Cash-Out Refinance (First Use) | 2.15% |
| Cash-Out Refinance (Subsequent) | 3.30% |
| Native American Direct Loan | 1.25% |
Funding Fee Examples ($500,000 Home):
| Scenario | Calculation | Fee Amount |
|---|---|---|
| First use, 0% down | $500,000 × 2.15% | $10,750 |
| First use, 5% down | $475,000 × 1.50% | $7,125 |
| First use, 10% down | $450,000 × 1.25% | $5,625 |
| Subsequent use, 0% down | $500,000 × 3.30% | $16,500 |
The funding fee can be rolled into your loan—you don't need to pay it at closing.
Funding Fee Exemptions
Many veterans qualify for complete funding fee exemption, saving thousands:
Who Is Exempt (Veterans United):
| Category | Exemption Status |
|---|---|
| Veterans with 10%+ VA disability rating | Fully Exempt |
| Veterans awaiting disability compensation | Fully Exempt |
| Active-duty Purple Heart recipients | Fully Exempt |
| Surviving spouses of veterans who died in service | Fully Exempt |
| Surviving spouses of veterans who died from service-connected disability | Fully Exempt |
| Service members with proposed disability rating | Fully Exempt |
The 10% Disability Rating Impact:
| Scenario | Funding Fee on $400K |
|---|---|
| No exemption, first use | $8,600 |
| 10%+ disability rating | $0 |
| Savings | $8,600 |
Retroactive Refunds: If you paid the funding fee and later receive a VA disability rating dated before your loan closed, you may be entitled to a refund of the entire funding fee. Contact your loan servicer to apply for the refund.
How to Verify Your Status:
- Check your VA disability rating at VA.gov
- Request a proposed disability rating before closing if you have a pending claim
- Provide documentation to your lender during the loan process
- Purple Heart recipients should provide DD-214 or other proof
No Loan Limits for Full Entitlement
Since the Blue Water Navy Vietnam Veterans Act of 2019, veterans with full entitlement have NO loan limits:
Full Entitlement = No Limits: You have full entitlement if:
- You have never used your VA loan benefit, OR
- You paid off your previous VA loan AND sold the property, OR
- You had entitlement restored after a short sale/foreclosure (one-time restoration)
What This Means:
- Purchase a $1,000,000 home with $0 down
- Purchase a $2,000,000 home with $0 down
- No county limits apply
- Qualification based solely on income and creditworthiness
Remaining Entitlement (Limits May Apply):
If you currently have a VA loan or haven't restored entitlement, 2026 county limits apply:
| County Type | 2026 Conforming Limit |
|---|---|
| Standard Counties | $766,550 |
| High-Cost Counties | Up to $1,149,825 |
Multiple VA Loans: Yes, you can have multiple VA loans simultaneously if you have remaining entitlement:
- PCS move: Buy new primary residence, keep old as rental
- Divorce: Former spouse assumes existing VA loan, you use remaining entitlement
- Full entitlement restoration: Pay off and sell, get full entitlement back
Entitlement Calculation: Your basic entitlement is $36,000, but the VA guarantees 25% of the loan up to county limits. Example: $400,000 loan = $100,000 guarantee (25%).
VA Loan vs. Conventional Comparison
The VA loan advantage is substantial—here's the math:
Side-by-Side Comparison ($500,000 Home, January 2026):
| Feature | VA Loan | Conventional |
|---|---|---|
| Down Payment | $0 | $100,000 (20%) |
| Interest Rate | 5.25% | 5.75% |
| Loan Amount | $510,750 (incl. fee) | $400,000 |
| Monthly P&I | $2,821 | $2,334 |
| Monthly PMI | $0 | $0 (20% down) |
| Cash at Closing | ~$8,000 | ~$110,000 |
But Wait—What About Investing That Down Payment?
VA Loan Path (keep $100K, invest it):
- Monthly payment: $2,821
- $100,000 invested at 7% for 10 years: $196,715
- Position after 10 years: ~$150K equity + $196K investments = $346K
Conventional Path (use $100K for down payment):
- Monthly payment: $2,334
- Position after 10 years: ~$200K equity + $0 investments = $200K
The VA loan buyer is $146,000 ahead after 10 years.
When VA Wins:
- Almost always for primary residence
- Zero down payment keeps cash for investing
- 0.25-0.50% lower rates
- No PMI ever
- No loan limits with full entitlement
- Funding fee waived for disabled veterans
When Conventional Might Make Sense:
- Investment property (VA requires owner-occupancy)
- Second home/vacation home
- Already have 10%+ disability exemption AND prefer lower loan amount
VA Loan Eligibility Requirements
Service requirements to qualify for VA loan benefits:
Active Duty Service Members:
- Currently serving with 90 continuous days of active duty
Veterans by Era (VA.gov):
| Service Period | Minimum Service Required |
|---|---|
| WWII (9/16/1940 - 7/25/1947) | 90 days active duty |
| Korean War (6/27/1950 - 1/31/1955) | 90 days active duty |
| Vietnam Era (8/5/1964 - 5/7/1975) | 90 days active duty |
| Peacetime | 181 days continuous active duty |
| Gulf War (8/2/1990 - Present) | 90 days active OR 24 months |
National Guard & Reserve:
- 6 years of service in Selected Reserve/Guard, OR
- 90 days active duty (at least 30 consecutive days), OR
- Discharge due to service-connected disability
Surviving Spouses:
- Un-remarried spouse of veteran who died in service
- Un-remarried spouse of veteran who died from service-connected disability
- Spouse of POW/MIA for 90+ days
Certificate of Eligibility (COE): You need a COE to use your benefit. Obtain it:
- Through your lender (electronic retrieval, fastest)
- eBenefits portal online
- By mail using VA Form 26-1880
Documents Needed:
- DD-214 (discharge papers) for veterans
- Statement of Service for active duty
- NGB Form 22 for Guard/Reserve
- Marriage certificate for surviving spouses
VA Loan Payment Examples (2026)
Real-world examples using current January 2026 rates:
Example 1: First-Time VA User - Median Home
- Home price: $450,000
- Down payment: $0
- Funding fee (2.15%): $9,675
- Total loan: $459,675
- Interest rate: 5.25%
- Term: 30 years
| Component | Monthly Amount |
|---|---|
| Principal & Interest | $2,538 |
| Property Taxes (est.) | $375 |
| Homeowners Insurance | $175 |
| Total PITI | $3,088 |
Example 2: Disabled Veteran (Fee Exempt)
- Home price: $450,000
- Down payment: $0
- Funding fee: $0 (10%+ disability)
- Total loan: $450,000
- Interest rate: 5.25%
- Term: 30 years
| Component | Monthly Amount |
|---|---|
| Principal & Interest | $2,485 |
| Property Taxes (est.) | $375 |
| Homeowners Insurance | $175 |
| Total PITI | $3,035 |
Savings vs. non-exempt: $53/month = $19,080 over 30 years
Example 3: Subsequent Use (Higher Fee)
- Home price: $400,000
- Down payment: $0
- Funding fee (3.30%): $13,200
- Total loan: $413,200
- Interest rate: 5.25%
- Term: 30 years
| Component | Monthly Amount |
|---|---|
| Principal & Interest | $2,282 |
| Property Taxes (est.) | $333 |
| Homeowners Insurance | $150 |
| Total PITI | $2,765 |
Example 4: 5% Down (Reduced Fee)
- Home price: $400,000
- Down payment: 5% ($20,000)
- Funding fee (1.50%): $5,700
- Total loan: $385,700
- Interest rate: 5.25%
- Term: 30 years
| Component | Monthly Amount |
|---|---|
| Principal & Interest | $2,130 |
| Property Taxes (est.) | $333 |
| Homeowners Insurance | $150 |
| Total PITI | $2,613 |
VA Loan Unique Benefits
Features that make VA loans the most powerful mortgage program:
1. Zero Down Payment
- No other major loan program offers true 0% down
- FHA requires 3.5%, conventional typically 3-20%
- Preserves cash for investments, emergency fund, or moving costs
2. No Private Mortgage Insurance (PMI)
- Conventional loans require PMI until 20% equity
- On $400K loan, PMI costs $150-300/month
- VA borrowers save $50,000+ in PMI over loan life
3. Lower Interest Rates
- VA rates average 0.25-0.50% below conventional
- On $400K over 30 years, 0.25% lower = $20,000 saved
4. No Prepayment Penalty
- Pay extra principal any time
- Refinance without penalty
- Pay off loan early without fees
5. Assumability
- VA loans can be assumed by qualified buyers
- If rates rise, your low-rate loan becomes a selling point
- Buyer assumes your rate and remaining balance
6. Foreclosure Avoidance
- VA has the lowest foreclosure rate of any loan type
- VA provides counseling and assistance if you struggle
- Loan modification and forbearance options available
7. Limit on Closing Costs
- VA limits what sellers can charge buyers
- 1% origination fee maximum
- Many fees prohibited for VA borrowers
8. Multiple Uses
- Use your benefit multiple times throughout life
- Have multiple VA loans simultaneously with remaining entitlement
- Entitlement restores after payoff and sale
Pro Tips
- 💡Get your Certificate of Eligibility (COE) before house hunting. Most lenders can pull it electronically in minutes.
- 💡If you have any VA disability claim pending, expedite it before closing. Even a 10% rating exempts you from the entire funding fee, saving $8,000+ on a $400K home.
- 💡Consider a 5% down payment if possible. This reduces the funding fee from 2.15% to 1.50%, saving $2,600 on a $400K home.
- 💡Shop multiple VA-approved lenders. Interest rates and fees vary significantly—comparing 3-4 lenders can save thousands over your loan term.
- 💡Use the VA loan assumption feature when selling. If rates have risen, your low-rate assumable loan makes your home more attractive to buyers.
- 💡Don't let sellers discourage you. VA appraisals are thorough but fair, and VA loans close at similar rates to conventional.
- 💡Finance the funding fee into your loan if cash is tight—you don't need to pay it at closing.
- 💡If buying a multi-unit property (2-4 units), you can use rental income from other units to help qualify.
- 💡Request a refund if you paid the funding fee and later receive a disability rating dated before closing.
- 💡Keep your entitlement in mind. Selling and paying off your VA loan restores full entitlement for future use.
Frequently Asked Questions
VA loans are available to active-duty service members (90 days continuous service), veterans (90-181 days depending on era), National Guard/Reserve members (6 years service or 90 days active duty), and certain surviving spouses. You need a Certificate of Eligibility (COE) from the VA, which most lenders can obtain electronically in minutes.
