VA home loans are mortgages guaranteed by the U.S. Department of Veterans Affairs (VA). They are available to eligible current or former members of the military and surviving spouses. Compared to other types of loans, VA mortgages are especially accessible since they don’t require a down payment or mortgage insurance. Other low-down payment loans typically require mortgage insurance if the borrower puts down less than 20 percent. VA loans do, however, require you to pay a funding fee. This cost can be paid upfront at closing or folded into the loan (which means you’ll pay interest on it).

How much does a VA loan cost?

If you’re borrowing using a VA loan, there will be other costs in addition to interest you pay on the mortgage. The first is the VA funding fee, which varies based on the size of your down payment, how much you borrow and your current status, as well as whether this is your first time borrowing a VA loan. There are also closing costs for a VA loan, which can include the price of a credit check, a VA appraisal fee and title insurance, among other expenses.

Are VA refinance rates different from VA purchase rates?

There isn’t much variation in VA loan refinance rates compared to the VA loan rate on a home purchase, according to Bankrate data as of March 2025. However, VA loan APRs (annual percentage rates), which account for the interest rate plus the lender’s fees and points, often differ. That’s because APR fees can be less expensive on a refinance and, if you do a VA streamline refinance, you won’t pay for additional costs like an appraisal.

Should I lock in my VA mortgage rate?

With a rate lock, you’ll freeze the rate on your mortgage so it won’t change. The lock guarantees (with some exceptions) that your desired rate will remain available for a specific period of time, so you won’t be affected if rates climb between submitting an offer and closing on the loan. Most rate locks are between 30 days and 60 days, although you might be able to obtain a lock of 90 days, 120 days or longer. Bear in mind that longer rate locks tend to come with a fee. Of course, locking a rate comes with risk. If you lock too early, you might miss out on the opportunity for a better rate prior to completing the purchase. On the other hand, you might want to secure a lower rate if rates are trending up.

Compare current VA loan rates

Written by

Andrew Dehan,

Updated on May 21, 2025

On Wednesday, May 21, 2025, the national average 30-year VA loan APR is 7.19%. The average 30-year VA refinance APR is 8.21%, according to Bankrate's latest survey of the nation's largest mortgage lenders.

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Lender	Rate	APR	Mo. payment	as of May 21, 2025

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Weekly national VA mortgage interest rate trends

Current mortgage rates

30 year fixed VA

6.80%

Today's national VA mortgage interest rate trends

For Wednesday, May 21, 2025, the national average 30-year VA mortgage interest rate is 7.14%, flat compared to last week’s of 7.14%. The national average 30-year VA refinance interest rate is 8.13%, down compared to last week’s rate of 8.22%.

While these rate averages regularly fluctuate, they can help you identify changes in the market. The specific rate you’re offered depends on a number of factors, including your individual credit and finances.

Current VA loan interest rates

VA loan rates tend to be slightly lower than rates for other mortgage types, but not always. The Fed has held its benchmark rate in the same range since Dec. 2024. Whether it will lower rates depends on the job market and the rate of inflation. Even if it does make a rate cut, it may not be immediately reflected in mortgage rates.

The interest rate on a VA mortgage depends on many variables, including:
- Credit score: Unlike other mortgage products, the VA doesn’t require a minimum credit score to qualify for a VA loan — but the lender you borrow from might. Many VA lenders look for a score of at least 620.
- Loan term: Shorter-term loans typically have lower interest rates, which reduces your overall cost, but your monthly payments will be higher. By contrast, longer-term loans have higher rates, but lower monthly payments.
- Current market conditions: Broad economic trends, such as inflation, as well as perceived economic uncertainty or risk, also impact VA mortgage rates.
- Lender: The lender you work with sets its own rate based on profit margin and other factors. The U.S. Department of Veterans Affairs (VA) does not set rates.
Bankrate’s mortgage rates include national rate and APR averages; Bankrate Monitor (BRM) National Index rate averages; and “top offers”:
- National rate and APR averages: Displayed as daily and weekly averages, these rates and APRs are primarily collected from the 5 largest banks and thrifts across hundreds of markets in the U.S.
- Bankrate Monitor (BRM) National Index rate averages: Reported weekly, this long-standing survey collects rates from banks and thrifts across hundreds of markets in the U.S.
- “Top offers”: Displayed daily and weekly, these are an average of the rates listed first on our rate tables as advertised by our partners. The averages shown are based on the loan type and term selected.
You can compare national average mortgage rates to top offers to see how much you could save when shopping on Bankrate.

Learn more about how we collect, display and report mortgage rates.

VA loan eligibility requirements

To be eligible for a VA loan:

You’re currently on active military duty or a veteran who was honorably discharged and met the minimum service requirements;
You served at least 90 consecutive active days during wartime or at least 181 consecutive days of active service during peacetime; or
You served for more than six years in the National Guard or Selective Reserve.

In addition, if your spouse died in the line of duty, you might qualify for a VA loan.If you meet these requirements, you’ll next need to obtain your certificate of eligibility (COE). You can request this online, by mail or through your VA mortgage lender.

Benefits of VA loans for service members

VA loans help eligible members of the armed forces more easily buy, build or renovate homes. The benefits of this type of loan include:

No down payment
No mortgage insurance
Potentially lower credit score requirement
Mortgage rates sometimes lower than those for other loan types

VA loans vs. conventional loans

Both a VA loan and a conventional loan help finance a home, but VA loans don’t require a down payment, whereas conventional loans require at least 3 percent down. With a conventional loan, however, you can buy a primary residence (the home you’ll live in), an investment property or a vacation home. The same doesn’t apply to VA loans, which can only be used to finance primary residences.

In addition, conventional loans require the borrower to pay private mortgage insurance (PMI) if making a down payment less than 20 percent. VA loans don't require any mortgage insurance, even with no down payment, but they do require payment of a funding fee, a percentage of the loan amount.

Here’s an example of some of the costs associated with a VA loan versus a conventional loan. Keep in mind interest rates are dependent on the market and the borrower's creditworthiness.

	30-year fixed VA loan	30-year fixed conventional loan
Home price	$410,000	$410,000
Down payment	0%	3% ($12,300)
Loan amount	$410,000	$397,700
Interest rate	6.87%	6.84%
Monthly mortgage payment (principal and interest)	$2,692	$2,603
Monthly mortgage insurance	$0	$192
Monthly mortgage payment with mortgage insurance	$2,692	$2,795
Interest total over 30 years	$559,134	$539,492
Cost total	$969,134	$937,192

Note: These mortgage interest rates are as of May 12, 2025. The figures do not include the VA funding fee, homeowners insurance, property taxes or other costs that might be included with your monthly mortgage payment.

BANKRATE EXPERT FAQ

If you qualify for both a conventional and VA loan, which should you choose?

Phil Crescenzo Jr.

Vice President, Southeast Division, Nation One Mortgage Corporation

The variables of each loan are everything in this equation. The benefits of a VA mortgage loan are significant in many ways, especially allowing 100-percent financing without PMI, whereas a conventional mortgage would require a 20 percent down payment to eliminate PMI. In the scenario where a veteran does want to put 20 percent down, the funding fees associated with VA loans can be costly. If a veteran has a service-connected disability, the funding fee is waived and the veteran is exempt. In those cases, credit score would play a major factor in this decision. Overall, VA loans will be much more flexible on credit scores and have fewer costs associated with credit when compared to a conventional loan.

How to get the best VA loan rate

When comparing VA loans to other types of mortgages, you might notice that some VA loan offers come with lower rates. Still, it’s important to put your credit and finances in the best possible position for the most attractive rates. Here are some tips:

Check your credit score. While VA lenders aren’t as strict as other types of lenders, a score above 620 gives you the most options.
Shop around. While all VA loans are backed by the VA, individual lenders offer mortgages. Rates can vary by half a point or more from one lender to the next.
Check out lender reviews. Some VA lenders have stellar reputations for customer service — but others not so much. You can learn more about individual lenders on Bankrate.

Learn more: How to get a VA loan

VA loan FAQ

Additional VA loan resources

VA loan guides: Everything you need to know about VA loans, all in one place
Best VA loan lenders: Bankrate’s top picks when shopping for a VA loan
VA loan calculator: Estimate your monthly payments, interest and more

Meet our Bankrate experts

Written by: Andrew Dehan, Writer, Home Lending

I’ve covered mortgages, real estate and personal finance since 2020. At Bankrate, I’m focused on all of the factors that affect mortgage rates and home equity. I enjoy distilling data and expert advice into takeaways borrowers can use. Prior to Bankrate, I wrote and edited for Rocket Mortgage/Quicken Loans. My work has been published by Business Insider, Forbes Advisor, SmartAsset, Crain’s Business and more.