VASTREAMLINEREFINANCE.COM LENDER HOTLINE: 888-581-5008 Can I still utilize the VA Streamline Refinance option if my current home loan is “underwater”? Absolutely, The VA Streamline doesn’t require an appraisal, meaning there isn’t a value established for the property you are refinancing. This loan is based off your existing loan not the current value of your home. Do lenders have different rules and guidelines for using the VA Streamline? Yes, unfortunately. Most lenders have additional guidelines on top of what the VA requires. It’s a good idea to shop around for a lender who offers options that best meet your preferences. Always compare lenders to find the best option for you. For example, the VA may not require an appraisal or even your credit report to get you qualified, but majority of lenders do require a credit report, and many even require an appraisal for a VA streamline. It all depends on the lender you choose. Will I need my Certificate of Eligibility for a VA streamline? Nope. Your Certificate of Eligibility or COE is only needed when you use a VA home loan program to purchase a home, but not when using a VA streamline refinance. Basically, since you already have a VA loan, most lenders will request a validation in lieu of a COE. Can I add or remove someone from the mortgage with a VA Streamline? Yes and no, in some cases parties can be added or removed. The rule of thumb is, that the veteran who was eligible for the original loan must remain on the loan. The only exception to this is when a spouse and veteran are on the existing loan and the veteran passes away. In this case, the surviving spouse may be eligible to refinance with a VA streamline. What if using the VA streamline refinance raises my payment? The payment could increase in some cases, however it’s very rare that it will raise higher than 25%. Your lender could request your income documentation, but the payment should not raise that high because of the following factors; ARM to Fixed Rate-Because a fixed rate mortgage will usually have higher interest rates than an adjustable rate mortgage also known as ARMs, your payment may raise. In some cases, your rate and payment could possibly go down if your ARM interest rate is higher than today’s lower fixed rates. Shorter Terms-The VA streamline refinance allows a borrower to refinance from a 30 year loan into a shorter term loan. In this case, it’s OK for your payment to go up as long as your interest rate goes down. Since shorter term loans are meant to be paid off faster, payments are usually bigger than loans with longer terms.