VA Mortgage Calculator

VA home loans are mortgage loans guaranteed by the U.S. Department of Veterans Affairs, available to eligible service members, veterans, and surviving spouses. The VA guarantee allows lenders to offer loans with no down payment, no private mortgage insurance, and competitive interest rates that are typically 0.25-0.50% lower than conventional loans. These loans can be used to purchase a home, refinance an existing mortgage, or build a new property.

The VA funding fee is a one-time charge that helps sustain the VA loan program for future veterans. For first-time use with no down payment, regular military members pay 2.15%, while Reserves and National Guard members also pay 2.15%. Subsequent use increases the fee to 3.3%. Making a down payment of 5% or more reduces the fee significantly. Veterans with service-connected disabilities are exempt from the funding fee entirely, saving thousands of dollars at closing.

Two of the most significant advantages of VA loans are the zero down payment requirement and the absence of private mortgage insurance (PMI). On a $350,000 home, skipping the typical 20% down payment saves $70,000 in upfront costs, while avoiding PMI saves $150-$300 per month compared to a conventional loan with less than 20% down. These benefits make VA loans one of the most powerful homebuying tools available, allowing veterans to preserve cash for moving expenses, home improvements, or emergency savings.

Eligibility for VA loans requires meeting minimum active-duty service length requirements, which vary based on when and how you served. Generally, 90 consecutive days of active service during wartime or 181 days during peacetime qualifies you. National Guard and Reserve members typically need six years of service. You will need a Certificate of Eligibility (COE) from the VA, which your lender can often obtain electronically. There is no official minimum credit score set by the VA, though most lenders require at least 620.