If your current Mortgage is a VA Loan that you would like to refinance while interest rates are still low, your best option is most likely a VA IRRRL (Interest Rate Reduction Refinance Loan) otherwise known as a VA Streamline Refinance. An IRRRL replaces your existing VA mortgage into a new one at a lower interest rate.
You don’t have to use the same lender that currently services your mortgage for a VA IRRRL. We can refinance your current VA Loan with a VA Streamline Refinance regardless of who your current mortgage loan servicing company is.
Here are the some of the requirements to be eligible for a VA IRRRL
- Must be refinancing an existing VA Loan into a new VA Mortgage.
- Must be a benefit to the borrower – to lower the interest rate and therefore lower the monthly principle and interest payments of the existing VA loan. If the new payment is 20% or more, the lender must determine if the Veteran qualifies for the new payment.
- An IRRRL cannot be used to take equity out of the property or pay off debts other than the VA loan being refinanced.
- An VA Streamline Refinance loan can be made to refinance an ARM loan into a fixed rate mortgage.