VA Loan Calculator

VA loans are mortgage loans guaranteed by the U.S. Department of Veterans Affairs, available to active-duty service members, veterans, eligible surviving spouses, and National Guard and Reserve members. VA loans offer several powerful advantages over conventional mortgages: zero down payment is required for loans up to the conforming limit, there is no private mortgage insurance (PMI), and interest rates are typically 0.25% to 0.50% lower than conventional rates. The VA does charge a one-time funding fee that varies based on your down payment amount and whether you have used a VA loan before. Disabled veterans receiving VA disability compensation are exempt from the funding fee entirely. For first-time VA loan users with zero down payment, the funding fee is 1.25% of the loan amount. If you put down 5% or more, it drops to 1.5%. For subsequent use of the VA loan benefit, the fee is 1.75%. This fee can be rolled into the loan balance so you do not need to pay it out of pocket at closing. Because VA loans do not require PMI — which costs conventional borrowers 0.5% to 1.5% of the loan amount per year when putting down less than 20% — the monthly savings can be substantial. On a $400,000 home, avoiding PMI alone can save $167 to $500 per month. This calculator compares your VA loan payment against a conventional mortgage side by side, showing monthly savings, total savings over the life of the loan, and a cumulative cost chart so you can see exactly when the VA advantage compounds most in your favor.