irrrl- interest rate reduction refinance loan

Interest RateReduction Refinance

Loan

IRRRLIRRRL.ORG

IRRRL.ORG LENDER HOTLINE: 888-581-5008

http://suited45trk.com/?a=75&c=1963&s1=&ts=irrrlss

IRRRL is a funny sounding name for a greatprogram available for Veterans who currentlyhave a VA loan. IRRRL stands for Interest RateRefinance Reduction Loan and it is alsosometimes called the VA streamline refinance.Ifyou are interested in the IRRRL program, youwill need to find a VA approved IRRRL lender whocan help you understand how to apply and whatthe guidelines are. Each lender will have theirown rates, fees and may even have smalldifferences in guidelines – so it is important thatyou speak with multiple VA approved lenderswho can help you understand how the programcould best work for you.



The IRRRL program is designed to help yourefinance your existing VA loan with a minimalamount of paperwork – which is where the term“streamline” comes from – “streamlined”paperwork. There will be less paperwork to dothan when you originally got your VA loan. Withthe IRRRL program, you don’t have to completelyre-qualify for a VA loan, in fact – many lendersdon’t require a minimum credit score or even anappraisal to participate in the program.



IRRRL Program HighlightsYou can participate in the IRRRL program with

your existing lender or choose to work with a

different VA approved lender.

VA requirements do not require an appraisal,

credit information, or underwriting, but your

lender may require these.

It is possible to roll in closing costs and fees so

there are no out-of-pocket costs.

Your new monthly payment must be lower than

your old monthly payment unless you are going

from an ARM to a Fixed rate loan or the term is

less than your old loan.



It is possible to get a new VA loan that is a fixed

rate or adjustable or hybrid fixed rate loan.

It is possible to finance in energy efficient

improvements into your IRRRL refinance, up to

$6000.

Cash back at closing is not allowed with the IRRRL

program.

At the time of closing, you must be current on

your mortgage and you can’t qualify for the IRRRL

program if you have more than 1 30 day late

payment on your mortgage in the last 12 months.



These are just a few of the highlights of the IRRRLprogram – there are plenty of other great thingsabout the program depending on which VAapproved lender you work with. Remember – notall VA lenders have the same rules for the IRRRLprogram, some will have slightly differentguideline requirements. For example, somelenders do not require an appraisal with theIRRRL program, some will require an AVM or evena full appraisal. Some lenders may not have aminimum credit score, some will. This is why it isimportant to shop multiple VA approved lendersso you know what lender will be able to help youbased on your individual situation.



VA Funding Fee For IRRRLRefinance

When getting a VA loan, generally speaking it isrequired that you pay a “funding fee” – this fee iscommonly referred to as the “VA funding fee”.The funding fee is designed to be paid by theVeteran so that it reduces the cost of the loan tothe government because VA loans offer 100%financing and no mortgage insurance.



Type of loan

Military category

First time VA loan borrower (The funding

fee for second time users who do not make

a down payment is slightly higher)

Down payment

The VA funding fee is a % of the VA loan

amount and varies on these things:



It is possible to either pay the VA funding fee atthe time of closing and it is also possible to “rollit into the loan” – or finance the fee. Whether itis financed or paid in cash – the VA funding feemust be paid at closing.



Not All People Have To Pay the VA

Funding Fee

It is true that not all people who get a VA loanare required to pay the funding fee. When

getting a VA loan, you don’t have to pay the fee if:



You are a Veteran receiving VA compensationfor a service-connected disability

or

You are a Veteran who would be entitled toreceive compensation for a service-connected

disability if you did not receive retirement oractive duty pay

or

You are a surviving spouse of a Veteran who diedin service or from a service-connected

disability.



IRRRL Lenders: What You Want To Know

Each lender will require slightly different things forthe IRRRL program – and if you have been turneddown by one lender, it doesn’t mean that you can’tparticipate in the program. If you have a low creditscore, owe more than your house is worth or haveother special-needs in your situation, it is importantthat you speak with multiple lenders to see whichone can best help you. Even if you have great creditand lots of equity in your home, it is still importantto speak with multiple lenders because each one willhave their own rates and fees – and you might besurprised to see how much you can save just byshopping around a little bit!



T O L E A R N M O R EIRRRL.ORG

LENDER HOTLINE: 888-581-5008

C L I C K H E R E



Justin McHood is Americas MortgageCommentator and has been providing

Mortgage commentary for over 10 years.

INFORMATION PROVIDED BY:Justin McHood

Mortgage Commentator


http://mortgagecommentator.com/

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