Due to the low rates, more veterans are taking advantage and lowering their current VA home loan rates with no appraisal, no credit check, no worries of faxing in pay stubs, bank statements or W2’s. You can too. It’s there for you and can be done in a matter of days, not weeks.
BASICS OF THE VA IRRRL
The VA Streamline refinance loan, referred to by IRRRL (Interest Rate Reduction Refinance Loan) or the shorter “IRRL” (Interest Rate Reduction Loan), can be done only if you have already have a VA loan on the property you intend to refinance. The only way it can be done is a VA to VA refinance reusing the original entitlement you used on that property, either from the purchase of that property or if you had substituted your eligibility for that of the seller on the purchase, if you assumed the loan. You may also refinance from a VA loan that was previously refinanced to, at a term no greater than 10 years above the current remaining term on your mortgage.
VA does not require an appraisal on the IRRRL (Interest Rate Reduction Loan) or “VA Streamline Refinance”*. In today’s declining housing markets, this feature is more beneficial than ever, especially when there are certain areas of the country where value swings exceed $100,000 with today’s more conservative appraisals. And with normal conforming loans or even FHA loans that have specific equity requirements, any value below your expectation could be the difference that keeps you from taking advantage of lower interest rates and monthly savings as a result. In addition, with no appraisal, that will cut your third party closing costs down by up to $600 in certain states making the refinance even more beneficial knowing your lender won’t be charging you any fees either.
Most lenders out there have stopped allowing VA streamline refinances without appraisals. VAloanlending.com is your access to get you connected with a VA lender that doesn’t require an appraisal which allows you the opportunity to lower your rate where normally a low appraisal would not.*VA doesn’t require appraisals, however it is up to lenders to determine what leniency they will give towards valuations to secure the loan.
This is another time saving feature. There is no need to search all over your house for those W2’s or that pay stub you just shredded. In addition, maybe you’re wondering about not making enough money to qualify now that you or your spouse is making less money for one reason or another. As long as you have a job, that’s all that matters.
There is NO Mortgage Insurance required on any VA loan. So you can benefit more on your refinance by not having to pay unnecessary PMI to your lender.
NO LENDER FEES
Again, most VA lenders charge a flat fee to help you obtain a VA loan. This is called an Origination fee. Because VA limits the types of charges to the customer, this is the customary place you would find a lender charge for their services. This fee is WAIVED when you inquire about a VA loan through VAloanlending.com. Any Loan Discount options can be discussed with you by your VA Loan Specialist.Always ask for a Lock-in-Agreement, signed by your VA Loan Specialist at the time you lock in your rate. This will describe the terms of the rate lock, including the loan amount, rate, and the expiration date of the lock.
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