Stewardship Capital
Streamline Refinance: FHA Streamline and VA IRRRL
If you already have an FHA loan or a VA loan, there may be a simpler way to refinance it with less paperwork. FHA Streamline and the VA IRRRL are two different programs. Each one is for a different existing loan.
What is a streamline refinance?
A streamline refinance replaces a government-backed loan with a new one using fewer steps. In many cases there is less paperwork. Some files need no new appraisal and less proof of income.
Whether that applies to you depends on the program and on the lender. Some lenders add their own rules on top.
What is the difference between FHA Streamline and the VA IRRRL?
They are separate programs. You cannot use one for the other's loan.
FHA Streamline
This is for a home with a current FHA loan. Generally you need an existing FHA loan to use it.
VA IRRRL
IRRRL stands for Interest Rate Reduction Refinance Loan. It is for a home with a current VA loan. Generally you need an existing VA loan to use it. Learn more about our VA loans.
If your current loan is conventional, neither program applies. Our refinance page covers the other options.
Who can use an FHA Streamline?
A homeowner with an existing FHA loan. Lenders look at your payment history on that loan, and the loan usually must be open for a minimum time with a minimum number of payments made. Those minimums vary, so Stephen confirms them on your file.
The new loan generally has to give you a clear benefit, as FHA defines it. A streamline is not a cash-out loan.
Who can use a VA IRRRL?
A borrower with an existing VA loan on the home. The VA IRRRL also looks at your payment history, and there are timing rules about how long the current loan has been open. Lenders may add their own rules. The new loan generally has to benefit the borrower, and it is not a cash-out loan.
Do I need an appraisal or proof of income?
Often these steps are reduced or skipped, but not always. Each lender decides how much it wants to see. Some still review credit and employment. Stephen tells you up front what your file needs.
What is the process?
- Share your current loan statement so we can confirm the loan type.
- Stephen checks basic eligibility, such as payment history and timing.
- You apply and send the documents your file needs.
- The lender verifies your payment history and that the new loan meets the program's benefit test.
- You review and sign closing papers.
When is a streamline not the right fit?
A streamline may not fit if you want cash out, if your current loan is not FHA or VA, or if you need to change who is on the loan. It also helps to think about how long you plan to stay in the home and what the closing costs will be. Stephen can walk through your options with you, with no pressure.
Frequently asked questions
Do I need an existing FHA loan for an FHA Streamline?
Generally yes. The program is for homeowners whose current loan is FHA. If you have a different type of loan, other refinance options may fit.
Do I need an existing VA loan for a VA IRRRL?
Generally yes. The IRRRL is for homeowners whose current loan is a VA loan.
Can I take cash out with a streamline refinance?
No. Streamline programs are not cash-out loans. If you want cash out, Stephen can explain other refinance choices.
Is a credit check required?
It depends on the lender. Many streamlines ask for less documentation, but lenders set their own rules. Stephen confirms what applies.
What if I have been late on my payments?
Payment history on your current loan matters for both programs. Recent late payments can affect eligibility. Tell Stephen what happened and he will review it.
See if a streamline fits your loan
Send Stephen a photo of your latest mortgage statement. He will confirm what kind of loan you have and what comes next.
Talk with StephenThis is not a quote, a commitment to lend or an offer of credit. Stephen Chakerian, NMLS #2193331 | Stewardship Capital, a team of Barrett Financial Group, L.L.C., NMLS #181106 | Equal Housing Opportunity.