Why VA loans have no PMI
VA loans are guaranteed by the U.S. Department of Veterans Affairs, so lenders do not require private mortgage insurance even with no down payment. Instead, most borrowers pay a one-time VA funding fee, which can be rolled into the loan. This typically makes the monthly payment lower than a comparable conventional or FHA loan.
Who qualifies for a VA loan
Eligible active-duty service members, veterans, and certain surviving spouses can use VA loan benefits, often more than once. Because there is no down payment requirement and no monthly mortgage insurance, the calculator sets PMI to zero — just remember to budget for the funding fee and normal closing costs.