VA Funding Fee – How Much Is Does it Cost an Arizona Veteran Homebuyer?

Phoenix Arizona VA Funding Fee

WHAT IS THE VA FUNDING FEE AN HOW MUCH DOES IT COST AN ARIZONA VETERAN?

What is the VA Funding Fee?
The VA Funding Fee is a fee that the VA charges a military veteran for the usage of a VA Mortgage.  The VA Funding fee is essentially a fee that your Phoenix Arizona VA Mortgage Lender finances into a veterans home loan at closing.  The Arizona Veteran does not pay this out of pocket.  Instead, it is a part of their total and final mortgage loan amount (amount they actually borrow).  This fee is what helps the VA continue to insure VA loans and it is what allows Arizona VA lenders like me to provide our nations veterans with VA mortgage options.  The VA Funding Fee provides an insurance fund for the VA that allows the VA Home Loan Program to operate.  Plain and simple!

HOW MUCH DOES THE VA FUNDING FEE COST AN ARIZONA VETERAN HOMEBUYER?
The cost of the VA Funding Fee is based on a set of factors set forth by the VA.  These Fee factors vary based on the veterans level of service, the number of times a veteran has used a VA mortgage in the past, the type of transaction (purchase or refi) and the amount of money the Phoenix area veteran puts down as a down payment on a purchase.  Click HERE for more details (scroll down to the middle/bottom of the page on linked page).  Here is a sample calculation using the VA fee factor of 2.15% on a $200,000 purchase with 0% down:

Step 1:  Loan Amt/Purch Price $200,000    x    Fee Factor 2.15%   = VA Funding Fee  $4,300
Step 2:  Loan Amount $200,000  +   Va Funding Fee $4,300   = Veterans Final VA Loan Amount $204,300

In this example, the veteran borrows a total of $204,300.  Please contact me today if you have any questions.  As your Arizona VA Mortgage Lender I can help answer any and all questions you have regarding a VA mortgage.  You may also click HERE to apply online today!

** Important** If a veteran is considered disabled by VA than that veteran is exempt from paying the VA Funding fee.

For more information on VA home loans please visit the VA section of my blog – click HERE.

You can also find a general overview of how a VA mortgage works by clicking HERE.

Jeremy

Phoenix Arizona VA Mortgage Lender

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Jeremy is the Founder of The HOUSE Team and a Sr. Loan Officer/Branch Manager with PrimeLending. Over the past several years he has ranked in the top 1% of all loan officers nationwide and one of the top 200 loan officers in America. In the mortgage industry, the devil is in the details. Jeremy prides himself on being a student and an expert when it comes to everything mortgage related.

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