Navigating life on a fixed income can be tough—especially for disabled veterans. In 2025, VA disability payments are increasing, giving millions of veterans a slight but meaningful boost. More importantly, that tax-free monthly payment can open the door to homeownership, wealth-building, and long-term stability.
Key Takeaways
- VA disability pay will increase by an estimated 2.8% in 2025, aligned with the Social Security COLA.
- Disability income counts as qualifying income for VA home loans.
- Veterans receiving disability pay are exempt from the VA funding fee—saving thousands.
What’s Changing with VA Disability Pay in 2025?
VA disability compensation rates are projected to increase by 2.8% in 2025, reflecting the forecasted Social Security cost-of-living adjustment (COLA). This annual adjustment helps offset inflation and rising costs.
Estimated 2025 VA Disability Compensation Rates
| Disability Rating | 2024 Monthly Pay | 2025 Projected Pay | Monthly Increase |
|---|
| 10% | $171.23 | $176.02 | +$4.79 |
| 30% | $524.31 | $539.00 | +$14.69 |
| 50% | $1,075.16 | $1,105.27 | +$30.11 |
| 70% | $1,716.28 | $1,764.36 | +$48.08 |
| 100% | $3,737.85 | $3,842.52 | +$104.67 |
Source: VA.gov Compensation Rates
Your Disability Pay Can Do More Than Pay Bills
Many veterans mistakenly believe they can’t use their disability income to qualify for a mortgage. The truth: VA disability pay is valid, stable, tax-free income that improves your eligibility for a VA home loan.
Home Loan Benefits for Disabled Veterans
- No VA funding fee—a savings of thousands.
- No down payment is required on VA-approved homes.
- Competitive interest rates.
- Flexibility in credit score requirements.
Learn how Be My Neighbour simplifies the VA loan process for disabled veterans. NMLS #1743790
Real Estate Investing with Disability Benefits
Your disability check doesn’t have to stop at covering bills. You can leverage it to create wealth through real estate investing.
reAlpha: Real Estate Investing for Veterans
reAlpha enables you to:
- Buy homes.
- Avoid commissions and traditional fees.
- Receive expert support and guidance.
Pro Tip: Use your VA loan to buy a multi-unit property, live in one unit, and rent out the others. This creates passive income that may cover or even exceed your monthly mortgage.
Frequently Asked Questions
Will VA disability pay increase in 2025?
Yes. It’s expected to increase by 2.8% based on the Social Security COLA.
What is the 2025 pay for 100% disabled veterans?
The estimated monthly amount is $3,842.52. Final numbers are confirmed each October.
Can I use VA disability income to qualify for a home loan?
Yes. It is eligible income under VA guidelines.
How do I estimate my 2025 disability pay?
Multiply your 2024 rate by 1.028 (2.8% increase).
What benefits come with a 70% VA rating?
Higher monthly compensation, funding fee exemption, possible property tax relief, and increased health care eligibility.
Build Your Future with What You’ve Earned
Your VA disability pay isn’t a limitation—it’s leverage.
- Use it to qualify for a VA home loan through Be My Neighbour.
- Start buying home with no commissions through reAlpha.
- Protect your family’s financial future.
You served your country—now let your benefits serve you.
Disclosure: Be My Neighbour and reAlpha are affiliated entities offering VA-focused and commission-free services for veterans. No compensation is exchanged for referrals between these entities. All services are offered in compliance with RESPA and other applicable federal regulations.
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