Homeowners with VA loans have the ability to easily refinance to a lower interest rate through a special program. This is often referred to IRRRL which stands for Interest Rate Reduction Refinancing Loan. Any VA authorized lender can assist with this program. This is an introduction to IRRRL VA home loans in MA.
Benefits of VA IRRRL
An appraisal, credit check, and closing costs are not mandated by the VA, although there is a loan funding fee payable. These are critical in declining markets. However, specific lenders may include an appraisal or credit check as part of their company financing criteria. Closing costs are normally charged by lenders, but the types and amounts will vary from one lender to another. The VA allows their funding fee and lender closing costs to be added to the loan so that homeowners can refinance without spending any money out of pocket. There is also an option to roll in the expense of energy improvements on the property.
Qualifying for a Refinance
For IRRRL with the program, the existing loan must be a VA loan. The interest rate on the new mortgage must also be less than that of the current mortgage (the exception to this guideline is when refinancing from an ARM to a fixed rate mortgage). Homeowners must not receive any cash proceeds from the refinance of the loan and no other mortgage, other than the original VA loan, may be included in the new loan. Veterans must also verify that they have occupied the home as a primary residence. Other qualification criteria may apply based on specific mortgage companies.
Help with IRRRL VA Home Loans In MA
Veterans with VA loans can use their current mortgage provider or use an entirely different one. Many financing companies are VA approved and can assist with IRRRL. The above information is provided only as an introduction. This information is believed accurate but is not guaranteed. It was gathered based on resources available at the time the article was written and is subject to change without notice. Always contact a local professional for up-to-date details and advice. For a list of lenders offering IRRRL VA home loans in MA, contact Bradford Pratt at REMAX on the Charles at 877-481-5544 or firstname.lastname@example.org.