what is a va streamline refinance

A VA Streamline Refinance, also known as an Interest Rate Reduction Refinance Loan (IRRRL), is a simplified and less expensive refinance process for homeowners who already have a mortgage backed by the VA. The VA will only allow you to take advantage of a VA Streamline refinance of your loan if the new terms provide you with an immediate financial benefit, such as a lower interest rate or a lower monthly payment. The process is much easier than other refinancing options, as it doesnt require a home appraisal or a credit underwriting package. However, you won’t be able to take any cash out with the VA streamline refinance, unlike a VA cash-out refinance. To be eligible for a VA Streamline Refinance, you must already have a VA-backed home loan and meet certain requirements, such as being current on your mortgage payments and having a good payment history.