Monday, September 5, 2011

Louisville Kentucky VA Funding Fee Chart

Louisville Kentucky VA Funding Fee Explained


The Louisville Kentucky VA Funding Fee is paid directly to the Department of Veteran's Affairs and is the reason they can guarantee this no-money-down loan program. This fee is paid so that Louisville Kentucky VA eligibile borrowers can enjoy loan benefits such as $0 down financing and no PMI payments.



Louisville Kentucky VA Funding Fee Chart

The Funding Fee is calculated by looking at 5 different factors: Loan amount, loan type (Purchase or Refinance), type of service, down payment (if any) and prior VA loan use. Take a look at the charts below to see how the va funding fee varies based on these factors.



Purchase - First Time Use

Down Payment Active Duty/Retired Guard/Reserve

$0 Down 2.15% 2.40%


5-10% Down 1.50% 1.75%


10% or More 1.25% 1.50%

Purchase - Additional Use

Down Payment Active Duty/Retired Guard/Reserve

$0 Down 3.30% 3.30%


5-10% Down 1.50% 1.75%


10% or More 1.25% 1.50%

Cashout Refinance

VA Usage Active Duty/Retired Guard/Reserve

1st Time Use 2.15% 2.40%


Additional Use 3.30% 3.30%

IRRL (Interest Rate Reduction Loan)

VA Usage Active Duty/Retired Guard/Reserve

1st Time Use 0.5% 0.5%


Additional Use 0.5% 0.5%



How the Funding Fee is Paid

The funding fee doesn't need to be 'paid' separately and is typically rolled into the loan. This is a big benefit to borrowers looking to take advantage of the $0 down benefit of the Louisville Kentucky VA loan. Not only do borrowers not need to put anything down, but they can also finance the Louisville Kentucky VA funding fee as well.



Louisville Kentucky VA Funding Fee Exemption

Borrowers are exempt from paying the funding fee if they receive any disability payments from the VA or are considered at least 10% disabled.



Questions? Call 502-905-3708 or email us at kentuckyloan@gmail.com


Fill out my free VA Mortgage Applicatin form!