A veteran obtained a VA loan in 2015 with a funding fee of 2.15% for a subsequent use. They are now applying for another VA loan in 2024. What funding fee rate applies?
Correct Answer
C) 3.6% (current subsequent use rate)
Each VA loan uses the funding fee rates in effect at the time of the new loan. For subsequent use VA loans in 2024, the funding fee is 3.6% for loans without a down payment, regardless of previous loan fee rates.
Why This Is the Correct Answer
Each VA loan uses the funding fee rates in effect at the time of the new loan. For subsequent use VA loans in 2024, the funding fee is 3.6% for loans without a down payment, regardless of previous loan fee rates.
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A veteran is purchasing a $600,000 home with a VA loan and making a voluntary down payment of $50,000. How is the VA funding fee calculated?
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