The VA funding fee replaces the ongoing mortgage insurance a conventional or FHA loan would otherwise charge — a one-time fee that varies by down payment size and prior VA loan use.
How it works
The loan amount is multiplied by the applicable funding fee rate, which depends on the down payment tier (below 5%, 5%-9.99%, or 10%+) and whether this is a first or subsequent use of VA loan benefits.
What this does not include
Certain veterans are exempt from the funding fee entirely (including those receiving VA disability compensation) — this calculator computes the standard fee for a non-exempt borrower and doesn’t check exemption eligibility.
How to use this calculator
- Enter the loan amount, down payment percentage, and whether this is a first or subsequent use.
Frequently asked questions
Who is exempt from the VA funding fee?
Veterans receiving VA disability compensation, among certain other categories, are exempt from the funding fee entirely — checking eligibility with a lender or the VA directly is worthwhile before assuming the fee applies.
Can the funding fee be financed into the loan?
Yes — most borrowers roll the funding fee into the total loan amount rather than paying it in cash at closing.
Why is the fee higher for subsequent use with no down payment?
Because a borrower who has already used and benefited from a VA loan is charged a higher rate at the lowest down payment tiers, reflecting the VA loan program’s overall risk pooling across its guarantee.
