VA IRRRL (VA Streamline Refinance)
A VA IRRRL refinances your current VA loan into a new VA loan, usually to lower your rate and payment, often with no appraisal and lighter paperwork. VA requires the closing costs to pay for themselves through your monthly savings within 36 months.
Rates change daily. Talk to a real lender, Mon-Fri, 9 AM-6 PM PT.
VA IRRRL at a glance
| Loan type | VA loan to VA loan only |
|---|---|
| Seasoning | At least 210 days after the first payment due date on your current loan, and at least 6 monthly payments made |
| Rate test | Fixed-to-fixed: the new rate must be at least 0.50% lower |
| Recoup rule | Closing costs must be recouped from monthly principal and interest savings within 36 months |
| Funding fee | 0.5% of the loan, unless you're exempt (for example, with a VA disability rating) |
| Cash out | No cash out with an IRRRL |
| Appraisal | Often not required |
Based on VA guidelines. Your lender confirms the details for your file.
The 36-month recoup rule, in plain English
Add up the closing costs that count toward recoup (lender fees, third-party fees and any discount points, minus any lender credits). Divide that by how much your monthly principal-and-interest payment goes down. The answer, rounded up, is your recoup in months. It must be 36 or less. The VA funding fee, escrow deposits and prepaid interest, taxes and insurance don't count.
Run your numbers in the VA IRRRL recoup calculator
Worked example, illustrative, not a quote: costs that count $3,600, minus a lender credit of $600 = $3,000. P&I goes from $1,900 to $1,780, saving $120 a month. $3,000 / $120 = 25 months, which passes the 36-month test.
Who it fits
You have a VA loan now, your rate can drop meaningfully, and you plan to stay past the recoup point.
Who it doesn't fit
You need cash out (see VA cash-out), or you're moving soon.
What we need
Your current mortgage statement, the note rate, homeowner's insurance information and photo ID. More may be needed depending on your file.
Estimate the monthly change
Principal and interest only. Your taxes and insurance stay outside this math.
Enter your numbers to see an estimate.
Frequently asked questions
What is the 36-month recoup rule?
VA requires the costs of an IRRRL, not counting the funding fee, escrow and prepaids, to be paid back by your monthly principal-and-interest savings within 36 months.
Do I need an appraisal?
Often not. Your lender decides based on your file.
How soon can I do an IRRRL?
At least 210 days after the first payment due date on your current VA loan, and after at least 6 monthly payments.
Can I get cash out with an IRRRL?
No. If you want cash out, look at a VA cash-out refinance.
What does an IRRRL cost?
It depends on the lender fees, third-party fees and the rate you choose. Get a quote for real numbers, then check them with our recoup calculator.
Is the funding fee waived with a disability rating?
Veterans who receive VA disability compensation are generally exempt. Your Certificate of Eligibility shows your status.
Does my rate have to go down?
For a fixed-rate to fixed-rate IRRRL, the new rate must be at least 0.50% lower, and your monthly payment generally needs to drop for the recoup test to pass.
Rates change daily. Talk to a real lender, Mon-Fri, 9 AM-6 PM PT.
Reviewed by Roland Suncire, Founder and President, NMLS 1196184. Last updated October 2026. Reviews