What Do You Need To Know About VA IRRRL?

When you are an active service member or veteran, there are many benefits available to you that might not be available to civilians. If you bought your home using a VA loan, for instance, you might have heard of an interest rate reduction loan program. So, what is a VA IRRRL and how do you find out if you qualify for this benefit?

What Is a VA IRRRL?

You might have heard this pronounced as VA “Earl” before; it means exactly the same thing. It refers to a streamlined mortgage refinance process for people with VA loans. Unlike other refinance programs, there is no credit underwriting during the process.

It allows them to take advantage of lower interest rates when rates or your credit situation has improved. If you currently have an adjustable-rate mortgage, you can also use it to refinance to a fixed-rate mortgage, so you have more predictable monthly mortgage payments.

Note that, unlike other refinance options, you cannot cash the equity out of your loan. For that, you would need a VA cash-out refinance loan. You could also refinance to another loan type to access your equity, such as a USDA or conventional loan.

Who Is Eligible for the VA IRRRL?

Not every service member or veteran is eligible for this program, even if they currently have a VA loan. For example, if you have been dishonorably discharged since getting your VA loan, you may not qualify for a VA IRRRL. There might also be length of service requirements to consider.

In some cases, spouses and dependents can also apply for the program. However, they may need to prove they live in the home.

How Do Eligible Persons Get a VA IRRRL?

Have you decided you would like to move forward with this program? Following a few key steps can improve your chances of success.

Step One: Find a Lender

Shopping around for a lender is a crucial step. Your existing lender might be a good place to start, but you can likely get much better rates elsewhere. Forcing companies to compete also puts you in a much better position to get the best rate possible.

Step Two: Submit Information

Once you have chosen a lender, you will be asked to submit information. You need to provide your Certificate of Eligibility, which comes from the VA. It verifies that you are in good standing with the military and confirms your eligibility.

Step Three: Close on the Loan

Finally, review and confirm the terms of your refinanced loan. If you note any discrepancies, notify the lender immediately. There is a small funding fee. This helps to make up for the fact that VA loans do not charge down payments or mortgage insurance, but it will never be anywhere close to the cost of these items.

How Can National Home Loans Help?

At National Home Loans, we want to thank you for your service or that of your loved one by serving you. We are committed to providing you a stress-free mortgage experience, so you can focus on what’s important. Contact us today to learn more about our VA loans.


  1. https://www.benefits.gov/benefit/1506
  2. https://www.va.gov/housing-assistance/home-loans/loan-types/interest-rate-reduction-loan/

Written By

John Giannattasio

John Giannattasio is an independent mortgage broker based in San Diego. He brings a wealth of diverse business knowledge and experience to his mortgage practice, which results in a stress-free, seamless, and strategic experience for his clients.

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