cash-out vs. streamline
Whether you’re looking to refinance into a VA loan from another mortgage type, take cash out, or simply improve your current rate, a VA refinance can offer serious benefits.
VA refinancing options
You have two VA refinancing options to consider, each offering different perks and drawbacks.
If you’d like to access your home equity or if you’d like to switch into a VA loan from another loan type, VA cash-out refinancing may be right for you. If already have a VA loan and just want to improve your rate and terms, a VA streamline may be the way to go. Check out the program features for details.
A VA Cash-Out allows you to replace an existing home loan with a VA loan. Unlike the name implies, you don’t actually have to take out equity. This loan can be used to pay off other debts, switch from a non-VA to a VA loan (eliminating mortgage insurance), and, if you want, get cash at closing.
VA streamline or IRRRL.
A VA Streamline (or Interest Rate Reduction Refinancing Loan) allows you replace your existing VA loan with a new VA loan under different terms. It’s ideal if you want to lower interest, change terms, or convert from one VA mortgage type to another. For example, if you want to go from an adjustable- to a fixed-rate mortgage.