VA home loans are mortgages that are partially backed by the U.S. Department of Veterans Affairs, or VA. They are available to current or former members of the military, and can be a great option for borrowers who qualify. Compared to other types of loans, VA mortgages are especially accessible since they don’t require a down payment or mortgage insurance. By comparison, other low-down payment loans typically require mortgage insurance if the borrower puts down less than 20 percent. Read more about how to get a VA loan.

What credit score is needed for a VA loan?

For VA loans, the credit standards are sometimes more relaxed compared to those for conventional loans, but generally, you’ll need a 620 minimum to qualify. “VA doesn’t set a credit score requirement, so technically there isn’t one,” says Chris Birk, vice president at Veterans United Home Loans and author of “The Book on VA Loans,” “but most if not all lenders will have an overlay for credit score. Anywhere from 620 to 660 is pretty common.”

How are VA purchase rates different from VA refinance rates?

VA loan purchase rates can vary from the rates you’d find on a VA loan refinance. The rate you may get for either depends on factors such as: Credit history Loan-to-value (LTV) ratio Loan term

Who qualifies for a VA loan?

To be eligible for a VA loan, you must be an active-duty service member, veteran, current or former National Guard or Reserve member or surviving spouse. You’ll also need to obtain a certificate of eligibility (COE) from the VA before starting the loan application process. You can apply for a COE by mail, online or through your lender. Read more about VA loan requirements.

How much does a VA loan cost?

If you’re borrowing 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.

How can I lock in my VA mortgage rate?

With a rate lock, you’ll freeze the rate on your mortgage, typically by paying a fee to the lender. 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 be more expensive. 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.

Current VA loan rates

Written by

Jeff Ostrowski

On Friday, September 22, 2023, the national average 30-year VA loan APR is 7.21%. The average 30-year VA refinance APR is 7.24%, according to Bankrate's latest survey of the nation's largest mortgage lenders.

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Weekly national mortgage interest rate trends
How to compare current VA loan rates
What factors determine my VA interest rate?
Pros and cons of VA loans
Frequently asked questions about VA loans

Weekly national mortgage interest rate trends

Current mortgage rates

	30 year fixed	7.59%
	15 year fixed	6.82%
	10 year fixed	6.77%

Today's national VA mortgage interest rate trends

For today, Friday, September 22, 2023, the national average 30-year VA mortgage interest rate is 7.09%, up compared to last week’s of 6.81%. The national average 30-year VA refinance interest rate is 7.03%, up compared to last week’s of 6.76%.

Whether you're buying or refinancing, Bankrate often has offers well below the national average to help you finance your home for less. Compare interest rates here, then click "Next" to get started in finding your personalized quotes.

We’ve determined the national averages for mortgage and refinance interest rates from our most recent survey of the nation’s largest mortgage lenders. Our own mortgage and refinance interest rates are calculated at the close of the business day, and include annual percentage rates and/or annual percentage yields. The rate averages tend to be volatile, and are intended to help consumers identify day-to-day movement.

How to compare current VA loan rates

VA loan rates vary by lender; that’s why shopping around for different VA loan offers is important. You can check our rate table regularly for current information from various lenders. You can also visit lenders’ websites to see VA interest rates today or research the best VA mortgage lenders. (Keep in mind that many of the lowest-rate offers require paying points, a way of buying down the interest rate.)

Our table compiles a comprehensive national survey of mortgage lenders to help you find the most competitive VA loan rates. This interest rate table is updated daily to give you the most current rates when choosing a VA mortgage home loan.

	VA 30-Year fixed loan	Conventional 30-year fixed loan
Home price	$300,000	$300,000
Down payment	$0 (0%)	$9,000 (3%)
VA funding fee	$6,450 (2.15%)	None
Loan amount	$306,450	$291,000
Interest rate*	6.5%	6.625%
Monthly payment**	$1,937	$1,863
PMI (mortgage insurance)	$0	$121 (0.5%)
Total monthly payment	$1,937	$1,984

Bankrate displays two sets of rate averages that are produced from two surveys we conduct: one daily (“overnight averages”) and the other weekly (“Bankrate Monitor averages”).

For Bankrate’s overnight averages, APRs and rates are based on no existing relationship or automatic payments. To determine the Bankrate Monitor mortgage rate averages, Bankrate collects APRs and rates from the 10 largest banks and thrifts in 10 large U.S. markets based on no existing relationship or automatic payments.

Our advertisers are leaders in the marketplace, and they compensate us in exchange for placement of their products or services when you click on certain links posted on our site. This allows us to bring you, at no charge, quality content, competitive rates and useful tools.

Learn more about Bankrate’s rate averages, editorial guidelines and how we make money.

What factors determine my VA interest rate?

Credit score: Unlike other loan products, VA loans don’t penalize you for a lower credit score or reward you for a higher one. So long as you meet the lender’s minimum, usually about 620, you get the same rate. If your score is in the low 600s, you might need to improve your score to qualify.
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: Trends in the overall economy have a significant impact on mortgage rates. For example, inflation is currently pushing rates higher.

Pros and cons of VA loans

A VA loan offers several benefits you may not get with other types of loans. However, there are some downsides as well.

Pros

VA loan interest rates tend to be lower than conventional mortgages.
VA loans have more flexible credit underwriting — you can qualify with a credit score in the 600s.
There’s no down payment or mortgage insurance requirement.
If you currently have a VA loan, you can get an Interest Rate Reduction Refinance Loan (IRRRL) with a lower rate and lower your monthly payments, or do a VA cash-out refinance. If you currently have another type of mortgage, you can refinance it into a VA loan with a lower rate and applicable benefits if you’re eligible.
VA lenders tend to offer superior customer service. Three of the big VA specialists, Veterans United, USAA and Navy Federal Credit Union, routinely post the highest scores on J.D. Power’s annual customer satisfaction surveys.

Cons

You must meet eligibility requirements.
You can’t use a VA loan to purchase a second home or investment property (with some exceptions).
You must pay the VA funding fee, which is based on current duty status, amount of down payment (if making one) and how much is borrowed.
The low equity requirement leaves you vulnerable should home prices fall.

Frequently asked questions about VA loans

VA home loans are mortgages that are partially backed by the U.S. Department of Veterans Affairs, or VA. They are available to current or former members of the military, and can be a great option for borrowers who qualify. Compared to other types of loans, VA mortgages are especially accessible since they don’t require a down payment or mortgage insurance. By comparison, other low-down payment loans typically require mortgage insurance if the borrower puts down less than 20 percent.

Read more about how to get a VA loan.
For VA loans, the credit standards are sometimes more relaxed compared to those for conventional loans, but generally, you’ll need a 620 minimum to qualify.

“VA doesn’t set a credit score requirement, so technically there isn’t one,” says Chris Birk, vice president at Veterans United Home Loans and author of “The Book on VA Loans,” “but most if not all lenders will have an overlay for credit score. Anywhere from 620 to 660 is pretty common.”
VA loan purchase rates can vary from the rates you’d find on a VA loan refinance. The rate you may get for either depends on factors such as:
- Credit history
- Loan-to-value (LTV) ratio
- Loan term
To be eligible for a VA loan, you must be an active-duty service member, veteran, current or former National Guard or Reserve member or surviving spouse. You’ll also need to obtain a certificate of eligibility (COE) from the VA before starting the loan application process. You can apply for a COE by mail, online or through your lender.

Read more about VA loan requirements.
If you’re borrowing 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.
With a rate lock, you’ll freeze the rate on your mortgage, typically by paying a fee to the lender. 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 be more expensive.

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.

Written by: Jeff Ostrowski, senior mortgage reporter for Bankrate

Jeff Ostrowski covers mortgages and the housing market. Before joining Bankrate in 2020, he wrote about real estate and the economy for the Palm Beach Post and the South Florida Business Journal.