VA IRRRL (Interest Rate Reduction Refinance Loan): Everything You Need to Know

The VA Interest Rate Reduction Refinance Loan (IRRRL) — also called the VA Streamline Refinance — is a refinancing program backed by the U.S. Department of Veterans Affairs.

It’s designed specifically for homeowners with an existing VA loan who want to:

Lower their interest rate
Reduce monthly payments
Switch from an ARM to a fixed-rate mortgage

The VA itself describes this program as a way to “make refinancing faster and easier for those who qualify” (VA.gov).

→ Read more: Home Loan Refinance

Benefits of a VA IRRRL

What are the advantages of a VA IRRRL?

- Lower Interest Rates

VA home loans consistently average 0.25% to 0.50% lower rates compared to conventional loans (Mortgage Bankers Association).

- No Appraisal or Credit Check (Usually)

In most cases, lenders do not require a new appraisal or full credit review, unless you’re refinancing from an ARM.

- Streamlined Paperwork

All you typically need is your Certificate of Eligibility (COE) and a recent mortgage statement.

- Closing Costs Can Be Rolled In

Instead of paying upfront, 1–3% closing costs can be added to your loan balance or offset with a slightly higher rate (Consumer Financial Protection Bureau).

- Convert ARM to Fixed-Rate

Protect yourself from rising rates by locking in a stable, long-term fixed rate.

Who Qualifies for VA IRRRL?

Who is eligible for a VA IRRRL?

Per VA.gov and VA Circular 26-18-13, eligibility requires:

You must already have a VA-backed mortgage.
At least 6 consecutive monthly payments must be made.
At least 210 days must pass since the first payment on your current loan.
The refinance must provide a net tangible benefit (lower payment or fixed-rate switch).
You must certify past occupancy (current occupancy not required).

Note: The IRRRL does not allow cash-out. For that, you’ll need a VA Cash-Out Refinance.

VA IRRRL vs. Other Refinance Options

Feature	VA IRRRL	Conventional Refi	FHA Streamline
Appraisal	Not required (most cases)	Required	Not required
Credit Check	Not required (most cases)	Required	Required
Occupancy	Past occupancy	Current	Current
Closing Costs	Roll into loan	Often out-of-pocket	Roll into loan
Processing Time	2–4 weeks	3–6 weeks	2–4 weeks