Last updated: October 17, 2026
If you are a disabled veteran in Florida, understanding the VA funding fee waiver is crucial for managing the cost of your home loan. This waiver means you may not have to pay the one-time fee typically associated with a VA-backed mortgage, which can save you thousands of dollars at closing.
The funding fee is a one-time fee paid directly to the U.S. Department of Veterans Affairs. It helps offset the cost to taxpayers of the home loan program. However, certain veterans, particularly those with service-connected disabilities, are exempt from paying this fee.
who is exempt from the va funding fee?
The funding fee is a percentage of your loan amount and can be paid at closing or financed into your loan. For most VA loans, this fee ranges from 0.50% to 3.30% of the loan amount, depending on the loan type, whether it's your first or subsequent use of the benefit, and your down payment amount for purchase loans. You can find current funding fee percentages on the VA's website: www.va.gov/housing-assistance/home-loans/funding-fee-and-closing-costs/.
However, you are exempt from paying the funding fee if you meet one of these conditions: * You are receiving VA compensation for a service-connected disability. * You are entitled to receive VA compensation for a service-connected disability, but you are not currently receiving it because you are receiving retirement or active duty pay. * You are rated eligible for VA compensation based on a pre-discharge examination or review. * You are an active-duty service member who has been awarded the Purple Heart. * You are a qualifying surviving spouse of a veteran who died in service or from a service-connected disability.
This exemption is a significant financial benefit. For instance, on a $400,000 purchase loan with less than 5% down and first-time use, the funding fee would typically be 2.15%, or $8,600. If you are exempt, you would save this amount. (Source: VA funding fee and closing costs.)
confirming your funding fee exemption
Your Certificate of Eligibility (COE) is the official document that confirms your eligibility for the home loan benefit, including whether you are exempt from the funding fee. You can obtain your COE through VA.gov, through a lender using the WebLGY system, or by mailing VA Form 26-1880.
If your Certificate of Eligibility (COE) confirms your exempt status, no funding fee will be charged on your VA-backed loan. In some cases, if a disability rating is granted after your loan has closed, this may lead to a refund of the funding fee.
Get your VA Pre-Approval Summary.
Complete the short form and we send back a full VA breakdown: your entitlement, the VA funding fee, and an estimated $0-down monthly payment — with no mortgage insurance, ever.
- Your entitlement and county loan limit (if applicable)
- $0 down payment — no mortgage insurance, ever
- One-time VA funding fee, financeable into the loan
- Estimated monthly payment with taxes and insurance
Summary emailed and shown on screen · Not an approval or commitment to lend
Illustration only, generated from the information you enter. Not a Loan Estimate, pre-qualification, commitment to lend, or approval. Subject to appraisal, credit and income review, VA guidelines, and final lender approval. Not affiliated with, endorsed by, or sponsored by the U.S. Department of Veterans Affairs. Equal Housing Opportunity.
- Purchase price
- $385,000
- Down payment
- $0
- Base loan amount
- $385,000
- Financed funding fee (2.15%)
- $8,278
- Est. monthly payment
- $2,690
Sample figures · Simply Approved Mortgages · NMLS #2620881 · Equal Housing Opportunity
specific considerations for florida veterans
While the funding fee waiver applies uniformly across all states, Florida offers additional benefits for disabled veterans that can further reduce the cost of homeownership. Eligible disabled veterans in Florida may qualify for property tax exemptions, which can significantly lower your annual housing costs. These state-specific benefits are separate from the federal funding fee waiver. You can explore details about these property tax benefits through the Florida Department of Revenue.
Expert insight from Simply Approved Mortgages: "We often see veterans assume they must pay the funding fee, especially if they haven't explicitly checked their COE for an exemption. It's always worth confirming your disability status with the VA and ensuring your COE reflects any service-connected conditions, as this can make a substantial difference in your closing costs."
You can learn more about specific closing costs in your state at VA Loan Closing Costs for Veterans in Florida.
when a va loan fits and when it does not
This loan is an excellent option for many eligible veterans, service members, and surviving spouses. It allows for $0 down payment for eligible borrowers with full entitlement and does not require monthly mortgage insurance (PMI). The VA itself does not lend money directly (except the Native American Direct Loan program); instead, it guarantees a portion of the loan made by a private lender, such as those we work with at Simply Approved Mortgages.
This benefit is generally best for buying or refinancing a primary residence. You must intend to occupy the home as your primary residence, usually within 60 days of closing. Investment properties and second homes are not eligible.
However, this type of loan may not be the best fit if you: * Are looking to purchase an investment property. * Cannot meet the VA's occupancy requirements. * Have very specific property types that may not meet VA Minimum Property Requirements (MPRs) for safety, soundness, and sanitation.
Consider using our VA funding fee calculator to estimate your potential savings if you qualify for an exemption.
Related VA Home Loan Resources
- Get my estimate
- VA home loan calculator
- how a home loan works
- VA home loan guide
VA home purchase calculator: run your own numbers
Edit the fields to see your down payment, financed one-time VA funding fee, and full monthly payment. VA loans allow $0 down and carry no monthly mortgage insurance.
Estimates only. Nothing here is an application, pre-qualification, pre-approval, rate quote, rate lock or commitment to lend. You can keep using this tool without giving us anything.
Estimates only — not a loan offer, rate lock, or commitment to lend. Taxes, insurance, and rates vary by county and credit profile.
Related reading
- Understanding the VA Home Loan Funding Fee
- Calculating Your VA Funding Fee: What to Expect
- Who Is Exempt From the VA Funding Fee?
- VA Funding Fee Changes And Updates: What To Know For 2026
- Recouping or Disputing a VA Funding Fee Payment
Sources
These government publications are cited for VA-backed loan program background and general consumer education. Simply Approved Mortgages LLC (NMLS #2620881) is a mortgage broker and is not HUD, FHA, or the CFPB, and is not affiliated with or endorsed by any government agency.
Frequently asked questions
- 01how do i know if i'm exempt from the va funding fee?
You are exempt if you are receiving or are entitled to receive VA compensation for a service-connected disability, rated eligible for compensation from a pre-discharge exam, are an active-duty Purple Heart recipient, or a qualifying surviving spouse. Your Certificate of Eligibility (COE) will confirm your exemption status.
- 02what is the exact amount I save if I am exempt?
The amount you save depends on your loan amount and the applicable funding fee percentage. For example, a $350,000 purchase loan with less than 5% down for a first-time user would normally have a 2.15% funding fee, totaling $7,525. If exempt, you save this entire amount. Current funding fee percentages are available on the VA's website: www.va.gov/housing-assistance/home-loans/funding-fee-and-closing-costs/.
- 03can the funding fee be refunded if i get a disability rating after closing?
Yes, if your VA disability compensation is awarded after your loan closes, you may be eligible for a refund of the funding fee. You would need to contact the VA to initiate this process after your disability rating is finalized.
- 04does the funding fee exemption apply to all types of va loans?
Yes, the exemption generally applies to all types of VA-backed loans, including purchase loans, cash-out refinances, and Interest Rate Reduction Refinance Loans (IRRRLs), if you meet the exemption criteria.
- 05is there an income limit for the funding fee waiver?
The VA funding fee exemption is based on a qualifying service-connected disability status, not on income.
- 06does florida have any additional waivers or benefits for disabled veterans?
Yes, Florida offers property tax exemptions for eligible disabled veterans, which can significantly reduce your annual property tax burden. These are separate from the federal VA funding fee waiver. You can find more information through the Florida Department of Revenue.
- 07what if my coe doesn't show my disability exemption?
If you believe you are exempt but your COE does not reflect this, you should contact the VA directly to update your records. This may involve submitting additional documentation, such as your VA disability award letter.
