What is the VA funding fee, and can it be waived or rolled into the loan?

The VA funding fee is a one-time charge that helps keep the VA loan program running without ongoing mortgage insurance. It ranges roughly from 1.25% to 3.3% of the loan amount depending on your down payment and whether it is your first VA loan, per the Department of Veterans Affairs. You can roll it into the loan balance instead of paying cash at closing, which spreads the cost over the term. Importantly, veterans receiving VA disability compensation, and certain surviving spouses, are exempt from the fee entirely, a major savings. Confirm your exemption status through the VA before closing, since some lenders miss it and you would have to request a refund afterward.