Estimate your monthly mortgage payment with VA loan benefits.
3.6% (Default for most first-time users)
3.6% (Second use, no entitlement used)
1.8% (Second use, some entitlement used)
1.25% (10% or more disabled)
0.75% (20% disabled or more)
0.5% (30% disabled or more)
0% (Exempt, e.g., 100% disabled)
Estimated Monthly Payment (Principal & Interest)
$0.00
This calculation is an estimate and does not include property taxes, homeowner's insurance, or PMI (if applicable, though VA loans typically don't require it).
Understanding Your VA Home Payment
The VA Home Loan program, backed by the U.S. Department of Veterans Affairs, offers significant benefits to eligible service members, veterans, and surviving spouses. One of the most attractive features is often the ability to purchase a home with no down payment. This calculator helps you estimate your monthly principal and interest (P&I) payment, a key component of your total housing cost.
How the VA Home Payment is Calculated
The core of the monthly mortgage payment consists of principal and interest. The VA funding fee is an important factor that can be rolled into the loan amount, increasing the total borrowed sum and subsequently the monthly payment.
The standard formula for calculating the monthly payment (M) for a fixed-rate mortgage is:
M = P [ i(1 + i)^n ] / [ (1 + i)^n – 1]
Where:
M = Your total monthly mortgage payment (Principal & Interest)
P = The principal loan amount (This includes the VA Funding Fee if financed)
i = Your monthly interest rate (Annual interest rate divided by 12)
n = The total number of payments over the loan's lifetime (Loan term in years multiplied by 12)
The VA Funding Fee
The VA Funding Fee is a one-time charge paid by the borrower to the VA. This fee helps keep the VA loan program running and reduces the cost to taxpayers. The percentage varies based on factors like the service member's disability status, whether it's their first time using the VA loan benefit, and the down payment amount (though many VA loans have 0% down).
Crucially, the VA Funding Fee can be financed. This means it's added to your loan amount. When you finance the funding fee, the 'P' in the formula above increases, leading to a higher principal loan amount and thus a higher monthly payment.
Example Calculation:
Let's consider a scenario:
Loan Amount (Base): $300,000
Annual Interest Rate: 3.5%
Loan Term: 30 years
VA Funding Fee: 3.6% (for a first-time user with no down payment)
Step 1: Calculate the VA Funding Fee amount.
Funding Fee = $300,000 * 3.6% = $10,800
Step 2: Calculate the Total Loan Amount (Principal).
Total Loan Amount (P) = Base Loan Amount + Funded Fee
P = $300,000 + $10,800 = $310,800
Step 4: Calculate the Total Number of Payments (n).
Loan Term = 30 years
Total Payments (n) = 30 * 12 = 360
Step 5: Apply the Mortgage Payment Formula.
M = $310,800 [ 0.00291667(1 + 0.00291667)^360 ] / [ (1 + 0.00291667)^360 – 1]
M ≈ $1,395.93
Therefore, the estimated monthly principal and interest payment would be approximately $1,395.93.
Important Considerations:
This calculator provides an estimate for Principal and Interest (P&I) only. Your actual total monthly housing payment will likely be higher and include:
Property Taxes: Varies by location.
Homeowner's Insurance: Required by lenders.
VA Funding Fee (if financed): As calculated.
HOA Dues: If applicable.
Private Mortgage Insurance (PMI): Typically not required for VA loans due to the VA guarantee, which is a major advantage.
Always consult with a qualified mortgage lender or financial advisor for precise figures and to understand all aspects of your VA loan.
function calculatePayment() {
var loanAmount = parseFloat(document.getElementById("loanAmount").value);
var interestRate = parseFloat(document.getElementById("interestRate").value) / 100;
var loanTerm = parseInt(document.getElementById("loanTerm").value);
var vaFundingFeeRate = parseFloat(document.getElementById("vaFundingFee").value);
var resultValueElement = document.getElementById("result-value");
// Input validation
if (isNaN(loanAmount) || loanAmount <= 0) {
resultValueElement.innerText = "Invalid Loan Amount";
return;
}
if (isNaN(interestRate) || interestRate < 0) {
resultValueElement.innerText = "Invalid Interest Rate";
return;
}
if (isNaN(loanTerm) || loanTerm <= 0) {
resultValueElement.innerText = "Invalid Loan Term";
return;
}
if (isNaN(vaFundingFeeRate) || vaFundingFeeRate 0) {
monthlyPayment = totalPrincipal * (monthlyInterestRate * Math.pow(1 + monthlyInterestRate, numberOfPayments)) / (Math.pow(1 + monthlyInterestRate, numberOfPayments) – 1);
} else {
// Handle case of 0% interest rate (though unlikely for mortgages)
monthlyPayment = totalPrincipal / numberOfPayments;
}
// Format the result to two decimal places and add currency symbol
resultValueElement.innerText = "$" + monthlyPayment.toFixed(2);
}