Updated January 2018
The VA IRRRL program, or Interest Rate Reduction Refinance Loan, is part of a Federally insured loan program that helps veterans refinance their VA loans and take advantage of the lower interest rates available today. The VA IRRRL program, also known as the VA streamline refinance loan, is simple and easy to qualify for.
Ready to get started? Get matched with a VA-approved lender.Take a minute to answer the short quiz here.
Some highlights of the VA IRRRL program:
- No appraisal of your home (although some lenders may require it)
- Closing costs may be rolled into the new loan
- No cash out in this refinance loan
- No underwriting required so no bank statements or pay stubs are needed
- While the VA doesn’t require a credit score, some lenders have a minimum required credit score
- You cannot have more than one 30 day late payment on your current VA loan
- Energy efficiency improvements to your home can be rolled into the loan amount
- You can do a streamline refinance on a home that you no longer occupy
You can refinance from a VA Adjustable Rate mortgage (ARM). If you have this type of mortgage, know that your monthly payments can increase, sometimes drastically, when the fixed period expires and the rates adjust. At this point, you may not be able to keep your home if you are financially strapped. You can avoid foreclosure by refinancing with the VA IRRRL program, which will put you into a fixed rate mortgage.
The IRRRL may not exceed the balance on your existing VA loan added to allowable fees and closing costs. This includes the funding fee and up to 2 discount points. You can also add up to $6000 of energy efficiency improvements into the loan. Be aware that adding all of these items into your loan may cause you to owe more than the fair market value of your home.
Take advantage of today’s historically low-interest rates and see if the VA IRRRL program can be an advantage to you. To get started, just take a minute to fill out the short form below to get matched with a VA-approved lender.Click to See the Latest Mortgage Rates»