VA calculator
VA Assumption Equity-Gap Calculator
A VA loan can be assumed, sometimes at a rate from years ago. The catch is the equity gap: the difference between the price and the seller’s balance, which you cover with cash or a second loan.
$190,000
Equity gap to cover
$190,000. Equity gap to cover
VA assumption
$190,000
The equity gap between the price and the seller's balance: $40,000 cash plus a $150,000 second loan.
$190,000. The equity gap between the price and the seller's balance: $40,000 cash plus a $150,000 second loan.
- Assumption: combined payment$2,837
- New loan instead$3,099
Assumed loan P&I
$1,684
at 2.875%
Second loan P&I
$1,153
at 8.5%
Blended rate
4.529%
balance-weighted
Assuming saves
$262/mo
Estimate only. This is not a Loan Estimate and not a commitment to lend. Your actual rate, payment and costs depend on your credit, the property and the loan program. Taxes and insurance are estimates. Assumptions need the servicer's and VA's approval and can take months; not every lender offers second loans behind an assumption.
Want a second set of eyes?
A calculator can’t see the whole picture. Frank will look over these numbers himself and tell you what lenders will actually focus on. No obligation, no credit pull.
How this calculator works
Equity gap = price − assumed balance. Whatever your cash doesn’t cover becomes a second loan at its own rate and term. The combined payment is the assumed loan’s payment plus the second loan’s payment, compared with a single new loan for the same total at today’s rate.
If the seller is a Veteran, their entitlement stays tied to the loan unless the buyer is an eligible Veteran who substitutes their own entitlement. The blended rate shown is a simple balance-weighted average for comparison.
Questions people ask
- Can anyone assume a VA loan?
- Yes. The buyer does not need to be a Veteran, but must qualify with the servicer. If the buyer is not an eligible Veteran, the seller's entitlement stays tied to the loan.
- How do I cover the equity gap?
- With cash, a second mortgage, or a combination. Not every lender offers second loans behind an assumption, so the calculator lets you test the rate and term.
- How long does an assumption take?
- Often 60 to 120 days, because the servicer must approve the buyer and VA must sign off. Build that into the purchase contract.
- Is assuming always cheaper?
- Not always. A low assumed rate on a small balance plus an expensive second loan can cost more than one new loan. The comparison line shows the difference.