Discover The Advantages Of Refinancing Your Home With A VA Loan

VA Refinance Loans

Refinancing with a VA Home Loan empowers qualified homeowners with an effective and easy way to potentially lower their home interest rates, decrease their monthly mortgage payment, and so much more. Additionally, military homeowners can get cash back through a VA refinance. The proceeds from this cash-out refinance can be used to accomplish a variety of financial goals, from paying off debt or making home improvements and much more.

Now is a great time for military homeowners to take advantage of the numerous benefits found in a VA refinance. Contact your First Veterans Mortgage Loan Officer to talk through your refinance game plan today!

Learn More About VA Refinance Loans

VA Refinance Loans come in two main programs to help VA borrowers refinance to a lower rate — the VA Streamline Refinance, also known as the Interest Rate Reduction Refinance Loan (IRRRL), and the VA Cash-Out Refinance. Let’s into these two programs to learn more about what could be right for you!

VA IRRRL (STREAMLINED REFINANCE)

A VA IRRRL is a mortgage refinance option for Veterans with an existing VA loan. Often called a “Streamline” refinance, the Interest Rate Reduction Refinance Loan (IRRRL) option is great for existing VA Loan holders who are looking to realize significant savings and take advantage of lower interest rates. The IRRRL allows homeowners to refinance an existing VA loan to a new VA loan with a lower interest rate or convert a VA loan from an adjustable to fixed-rate. It’s often called a VA streamline because it generally requires less paperwork and is faster than a typical refinance.

• With an IRRRL, there are several prominent advantages, including little to no out-of-pocket costs and no VA appraisal in most instances.
• To avoid out-of-pocket costs, homeowners can choose to roll the closing costs and fees into the loan balance.
• Today’s interest rates are at competitive levels. 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.

VA CASH-OUT REFINANCE

VA Cash-Out refinance loans gives qualified veterans the opportunity to refinance their current loan at a lower rate while also accessing cash from their home’s equity.

With a VA Cash-Out refinance, veterans have the opportunity to tap into their home equity, turning it into cash. VA Cash-Out Refinance Loans are not the same as home equity loans, which is a second loan that runs alongside your current loan. Instead of complimenting an existing loan, The VA Cash-Out refinance loan replaces your existing mortgage.

• Typically, a credit score of at least 620 is required, but minimums can differ based on the lender, the loan amount and more.
• You must certify that you intend to occupy the property being refinanced.
• Homeowners can finance their closing costs as long as they can meet loan-to-value guidelines.
• Homeowners can finance the VA Funding Fee, but they will need to meet lender loan-to-value guidelines.
• Homeowners in Texas may encounter restrictions regarding Cash-Out refinance loans.

You Can Use Your Cash Back To Accomplish Your Financial Goals!

• Paying down or eliminating debts
• Making home improvements or repairs
• Covering emergency expenses
• Paying college costs