The benefit you earned
The VA home loan is one of the most powerful benefits of service. Here's what it gives you — in plain English.
$0 down payment
Eligible borrowers with full entitlement can buy with no down payment — no years of saving first.
No monthly PMI
Conventional buyers under 20% down usually pay mortgage insurance every month. VA loans don't charge it.
Competitive rates
Because the VA guarantees part of the loan, VA rates are typically among the most competitive available.
Use it again
Your benefit doesn't disappear after one home. PCS, upsize or relocate — it can be used again.
Residual income
VA looks at what's left after your monthly bills, not just a debt ratio — which can open up buying power.
BAH & BAS count
Housing and food allowances count as income, and because they're untaxed, lenders may be able to gross them up.
The one-time fee that replaces monthly mortgage insurance
| Down payment | First use | After first use |
|---|---|---|
| Less than 5% | 2.15% | 3.30% |
| 5% to less than 10% | 1.50% | 1.50% |
| 10% or more | 1.25% | 1.25% |
Purchase loans. The fee can be financed into the loan. Source: U.S. Department of Veterans Affairs.
You may not pay it at all
The funding fee is waived if you receive VA disability compensation (10% or more), are a Purple Heart recipient on active duty, or are an eligible surviving spouse. Your Certificate of Eligibility shows your status.
100% disabled in California? See the property tax exemptionSee what your benefit can buy
Our calculator uses 2026 pay tables, BAH by ZIP and VA residual income standards. About 2 minutes, no credit pull.