The VA Funding Fee

The VA Funding fee varies based on several factors including the following:

• Whether or not it is the Veteran’s first VA Mortgage;
• Down payment amount, if any;
• Whether the Veteran was in the Reserves/National Guard;
• If it is a VA mortgage re-finance loan.

In order to determine what the funding fee will be for a specific transaction, the best thing to do is contact us and we’ll help you determine which funding fee applies to your specific circumstance.

Generally for Veteran home buyers using their VA eligibility for the first time, with no down payment the funding fee is 2.30% of the amount and less with a 5% or more down payment (1.65% to 1.4% of the loan amount). Please note that most of the time, the funding fee is not paid “cash out of pocket” but is included or financed into the mortgage.

Certain eligible Veterans are exempt from the funding fee, and it will be waived on their loan transaction. Most commonly, these are Veterans who are rated for Military disability or surviving spouses of those who died in service.

With Texas Veteran Loans, the funding fee applies when it is underwritten as a VA Loan (most common) and the same rates or exemptions outlined above will apply.

To get started with a Texas Vet or VA Loan today, call us or fill out the short form on this page and we’ll help you get pre-qualified for a Texas Vet or VA Mortgage