| Purchase And Construction LoansNote: The funding fee for regular military first time use from 1/1/04 to 9/30/04 is 2.2 percent. This figure drops to 2.15 percent on 10/1/04. |
Type of Veteran | Down Payment | First Time Use | Subsequent Use for loans from 1/1/04 to 9/30/2011 |
| Regular Military | None
5% or more (up to 10%)
10% or more
| 2.15%
1.50%
1.25%
| 3.3% *
1.50%
1.25%
|
| Reserves/ National Guard | None
5% or more (up to 10%)
10% or more
| 2.4%
1.75%
1.5%
| 3.3% *
1.75%
1.5%
|
| Cash-Out Refinancing Loans |
| Type of Veteran | Percentage for First Time Use | Percentage for Subsequent Use |
| Regular Military | 2.15% | 3.3% * |
| Reserves/National Guard | 2.4% | 3.3% * |
| Other Types of Loans |
| Type of Loan | Percentage for Either Type of Veteran Whether First Time or Subsequent Use |
| Interest Rate Reduction Refinancing Loans | .50% |
| Manufactured Home Loans | 1.00% |
| Loan Assumptions | .50% |
* The higher subsequent use fee does not apply to these types of loans if the veterans only prior use of entitlement was for a manufactured home loan.
NOTE: For all VA home loans, the funding fee may be paid in cash or it may be included in the loan. Veterans who qualify as 10% disabled or greater as a result of active military service are not required to pay a funding fee. Those who are not exempt from a funding fee may lower their fee by putting money down on their VA home purchase.
In addition, reasonable closing costs may be charged by the mortgage company. These costs may not be included in the loan. The following items may be paid by the veteran purchaser, the seller, or shared. Closing costs may vary among companies and also throughout the nation because of differing local laws and customs.
VA loan costs may include VA appraisal, credit report, loan origination fee (usually 1 percent of the loan), discount points, title search and title insurance, recording fees, state and/or local transfer taxes, if applicable, survey
No commissions, brokerage fees or "buyer broker" fees may be charged to the veteran buyer.
