VA Mortgage Calculator
This VA mortgage calculator estimates your monthly payment and total costs, including a VA funding fee when applicable. Typical purchase funding fees range from about 2.15% for first‑time use with under 5% down to 3.3% for subsequent use with under 5% down, dropping to about 1.5% at 5% down and 1.25% at 10% down or more. [web:34][web:35]
Calculate Your VA Loan Payment in Seconds
VA loans offer incredible benefits for veterans, active military members, and eligible spouses. This calculator helps you understand your monthly payment with $0 down payment and no mortgage insurance. Here’s how to use it:
Enter your home price.
Input the price of the home you're planning to buy. VA loans work for primary residences up to the conforming loan limit ($766,550 in Los Angeles County for 2025).
Enter your down payment.
VA loans allow $0 down payment, but you can choose to put money down to reduce your loan amount and monthly payment. Any down payment amount works.
Enter your interest rate.
VA loan rates are typically 0.25% to 0.5% lower than conventional loans because the VA guarantees the loan. Our calculator uses current average rates, but adjust based on your lender quotes.
Enter your loan term.
Most VA loans are 30-year fixed mortgages, though 15-year and other terms are available with higher payments but less total interest.
Enter the VA funding fee.
The VA charges a one-time funding fee ranging from 1.4% to 3.6% of the loan amount depending on down payment size, loan type (purchase vs. refinance), and whether it's your first VA loan. This fee can be financed into your loan. Veterans with service-connected disabilities are exempt from the funding fee.
Enter your ZIP code.
This estimates property taxes and homeowners insurance accurately for your target neighborhood in LA County.
Understanding VA Mortgage Payment Costs
VA loans eliminate several costs that conventional and FHA loans require, making homeownership more affordable for those who served. Here’s what you pay:
Principal
The amount you borrowed to purchase your home. Each monthly payment reduces this balance and builds your equity.
Interest
The cost of borrowing money, expressed as an annual percentage rate. VA loans typically offer the lowest rates available because the Department of Veterans Affairs guarantees a portion of the loan, reducing lender risk.
Property Taxes
Los Angeles County charges approximately 1% of your home’s assessed value annually. Your lender collects monthly portions through your mortgage payment and pays the tax bill when due.
Homeowners Insurance
Required coverage protecting your home from fire, theft, weather damage, and liability. Expect $1,200 to $2,500 annually in LA depending on location and home value. You pay monthly portions through your mortgage.
VA Funding Fee (One-Time)
This upfront fee helps keep the VA loan program running without taxpayer dollars. First-time users pay 2.3% with $0 down, 1.65% with 5%+ down, or 1.4% with 10%+ down. Subsequent VA loan users pay slightly higher rates. The fee is typically financed into your loan amount rather than paid at closing. Veterans with service-connected disabilities are completely exempt.
No Private Mortgage Insurance
Unlike conventional loans with less than 20% down or FHA loans, VA loans never require monthly mortgage insurance premiums regardless of your down payment. This saves $150 to $400 monthly compared to other low-down-payment options.
Additional Costs to Consider:
Down Payment
While VA loans allow $0 down, putting 5% to 10% down reduces your funding fee and monthly payment. Some buyers choose to make down payments to lower their overall costs.
Closing Costs
VA loans limit what sellers and lenders can charge, but you’ll still pay 2% to 5% of the loan amount for appraisal fees, title insurance, recording fees, and lender charges. The good news: VA allows sellers to contribute up to 4% toward your closing costs, and you can finance the VA funding fee into the loan.
How VA Loan Payments Are Calculated
VA loans use the same mortgage calculation formula as other loans, but without mortgage insurance costs. Here’s the math behind your monthly payment:
Let's say you're buying a $650,000 home in Los Angeles with $0 down using your VA loan benefit. Your loan amount is $650,000 plus the 2.3% VA funding fee ($14,950), totaling $664,950 at a 6% interest rate over 30 years.
- P = $664,950 (purchase price + funding fee)
- r = 0.005 (6% ÷ 100 = 0.06, then 0.06 ÷ 12 = 0.005)
- n = 360 (30 years × 12 months)
Your monthly principal and interest payment would be approximately $3,987. Add property taxes ($540) and homeowners insurance ($150) for a total monthly payment around $4,677. No mortgage insurance required.
Benefits of VA Financing for Military Members
VA loans provide powerful advantages that make homeownership more accessible and affordable for those who served. Here’s why VA loans are among the best mortgage options available:
$0 Down Payment Required
Buy a home without saving tens of thousands for a down payment. Most conventional loans require 5% to 20% down, while VA loans let you finance 100% of the purchase price.
No Private Mortgage Insurance
Conventional loans with less than 20% down charge monthly PMI ranging from $150 to $400. VA loans never require mortgage insurance, saving you thousands annually even with $0 down.
Lower Interest Rates
VA loans typically offer rates 0.25% to 0.5% lower than conventional mortgages because the VA guarantee reduces lender risk. Lower rates mean lower payments and less interest over the life of your loan.
Flexible Credit Requirements
VA loans accept lower credit scores than conventional financing. Many lenders approve VA loans with 580+ credit scores, though 620+ gets you the best rates and terms.
Limited Closing Costs
VA rules restrict what lenders can charge, protecting you from excessive fees. Sellers can contribute up to 4% toward your closing costs, and you can finance the VA funding fee into your loan.
No Prepayment Penalties
Pay off your VA loan early without penalties. Make extra principal payments anytime to reduce your balance and save on interest.
Assumable Loans
VA loans can be transferred to future buyers (if they qualify), potentially making your home easier to sell if rates rise significantly.
Refinancing Benefits
The VA Streamline Refinance (IRRRL) lets you refinance to lower rates with minimal documentation and no appraisal required in most cases.
Who Qualifies for VA Home Loans
VA loans are available to active-duty service members, veterans, National Guard and Reserve members, and certain surviving spouses. Here’s what you need to qualify:
Minimum Service Requirements:
- Active-duty service members: 90 consecutive days during wartime or 181 days during peacetime
- Veterans: 90 days during wartime, 181 days during peacetime, or 6 years in National Guard/Reserves
- National Guard/Reserves: 6 years of service
- Surviving spouses: If your spouse died in service or from a service-connected disability
Certificate of Eligibility (COE)
You’ll need a COE proving your VA loan eligibility. Apply online through the VA website, through your lender, or by mail. Most lenders can obtain your COE electronically within minutes.
Credit and Income Requirements
While the VA doesn’t set minimum credit scores, most lenders require 620+ for the best terms. You’ll need sufficient income to cover monthly payments, and lenders typically want debt-to-income ratios below 41%, though exceptions exist with compensating factors.
Occupancy Requirement
VA loans are for primary residences only. You must intend to occupy the home within 60 days of closing and live there for at least 12 months. Investment properties and vacation homes don’t qualify.
Property Requirements
The home must meet VA minimum property requirements ensuring it’s safe, structurally sound, and sanitary. VA appraisers inspect for major defects, safety hazards, and necessary repairs before approving loans.
Entitlement Limits
Most veterans have full entitlement, meaning no limit on how much they can borrow (though lenders still apply standard underwriting). Some veterans with remaining entitlement from previous VA loans may have partial entitlement requiring down payments above certain thresholds.