VA Streamline: IRRRL Streamline Requirements

May 15, 2009

The VA streamline probably won’t be a viable option for much longer — as interest rates rise, it will make less and less sense for veterans to do a VA streamline because it only makes sense when they can actually lower their interest rate and lower their mortgage payment.

And interest rates aren’t going to stay low forever.

Here are just a couple of things to remember when doing a VA streamline — you don’t have to occupy the property and don’t forget your checklist required for the VA streamline.

VA Streamline Occupancy Rules
The occupancy requirement for an IRRRL is different from other VA loans. When you originally got your VA loan, you certified that you occupied or intended to occupy the home. For an IRRRL you need only certify that you previously occupied it.

VA Streamline Check List

  1. Forms to be signed/filled out prior to submission
  2. URLA (1003)
  3. No Income, asset or liabilities listed (current lien holder and account number listed)
  4. VA addendum to the URLA
  5. Nearest living relative form
  6. Certificate of Eligibility Form 26-1880
  7. VA Benefit-Related Indebtedness Form 26-8937
  8. Federal Collection Policy Notice Form 26-0503
  9. Borrower’s authorization form for us to order credit supplement
  10. IRRRL loan worksheet

When doing a VA streamline (or thinking about doing one) make sure that your loan officer knows about the VA streamline occupancy requirements – you don’t actually have to occupy the property. Many loan officers are not aware of this!

Also, now you have a checklist of what will be needed – and remember that many lenders are now requiring a middle credit score above 620 and possibly an appraisal as well.  I say “many” because not “all” lenders are requiring these things. If your lender is telling you that they require a credit score and an appraisal, it is time to shop around.