VA Streamline (IRRRL) and Cash-Out Refinance
Refinancing your mortgage can be done several ways and for a variety of reasons to help your financial situation.
Streamline Refinance
Overview
The Streamline refinance, or Interest Rate Reduction Refinance Loan (IRRRL), is one of the best options for borrowers who already have a VA Loan and would like to refinance into a lower monthly mortgage rate.
This refinance type is relatively easy and can be completed quickly, due to the fact that borrowers are refinancing from one VA Loan product to another. With this type of refinance, there are several prominent advantages, including no required appraisal in some cases, no need to obtain another Certificate of Eligibility and little to no out-of-pocket costs.
To avoid out-of-pocket costs, borrowers can choose to roll the closing costs and fees into the balance of the loan.
There are only a few requirements and stipulations. Primarily, the borrower is not allowed to receive any cash back from the IRRRL and the borrower must also certify that he or she currently or has previously occupied the property.
Save with Lower Rates
Today's interest rates are at competitive levels, and with a reduction of just a half of a percent, a borrower could potentially generate tens of thousands in savings over the life of a loan:
| Amount Paid In Interest | Total Savings over 30 years |
|---|---|
| 150K 0.5% lower interest | $19,033.75 |
| 150K 1% lower interest | $32,696.48 |
| 250K 0.5% lower interest | $31,254.16 |
| 250K 1% lower interest | $54,494.12 |
| 350K 0.5% lower interest | $43,755.83 |
| 350K 1% lower interest | $76,291.77 |
| 450K 0.5% lower interest | $56,257.50 |
| 450K 1% lower interest | $98,089.43 |
Savings and interest rates shown here are for illustrative purposes only and may vary based on a variety of factors. All loans require approval and proof of eligibility and are subject to the complete terms and conditions outlined in the loan agreement documents.
Quick Facts
- The Streamline refinance is a simple process compared to originating the first VA mortgage.
- Closing costs and fees can be rolled into the new loan, meaning no out-of-pocket expenses.
- The IRRRL, or Streamline program, allows you to refinance into a fixed rate or adjustable rate loan.
- Your monthly payment for the IRRRL must be lower than the previous loan's monthly payment; the Streamline payment may be higher than your current payment if you are refinancing into an adjustable rate mortgage
- You must be current on your mortgage with no more than one 30-day late payment within the past year.
Get Started
Getting started on a Streamline refinance is easy and the whole process can be completed in a surprisingly short amount of time.
- NO re-appraisal in most instances
- NO new certificate of availability
- NO requirement for out-of-pocket costs
The VA Loan experts at Veterans United Home Loans are ready to guide you through the refinancing process and can answer all the questions you may have.
Cash-Out Refinance
Overview
The VA's Cash-Out refinance Loan gives qualified veterans the opportunity to refinance their conventional or VA loan into a lower rate while extracting cash from the home's equity.
With the Cash-Out refinance, you have the opportunity to turn the equity in your home into cash. This shouldn't be confused with a home equity loan, which is a second loan that runs alongside your current loan. The VA Cash-Out refinance loan replaces your existing mortgage instead of complementing it.
Qualified borrowers can refinance up to 100 percent of their home's value for mortgage debt in some cases. In others, homeowners can refinance up to a lower percentage and use the cash to cover debt payments and other needs.
Whether refinancing a conventional, FHA or USDA loan, the Cash-Out refinance option is available regardless of loan type. Many borrowers choose the VA Cash-Out refinance option over other types of loans because of the ability to repay the loan over a longer period of time, and typically, the Cash-Out refinance option comes with a lower interest rate.
VA Cash-Out Refinance Facts
- For those refinancing from a conventional or other mortgage program, you are not required to take any cash out.
- Cash-Out Refinance loans follow the standard VA Loan underwriting and credit process.
- The closing costs and funding fee can be rolled into the entire loan amount.
- You must certify that you intend to occupy the property being refinanced.
Ways to Use Your Cash Back
A cash-out refinance provides access to cash from the equity you've built up in your home — and you're free to use the money for whatever you want.
Imagine some of the possibilities:
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- Major Home Repairs

- Emergency Expenses

- Upgrade Your Kitchen
-

- Bathroom Remodel

- Tuition & Books

- Pay Off Debt
Get Started on Your Cash-Out Refinance
To get started on your cash-out refinance, contact the experts a Veterans United Home Loans.
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- Extend your repayment period
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- Possibility to lower rates
Ready to Get Started?
or call us now to speak to a VA Loan Specialist 800-884-5560
#1 Dedicated VA Lender in the Nation*
Veterans United Home Loans is not affiliated with any government agencies, including the VA.