VA IRRRL Calculator
See your new payment, how much a VA streamline refinance saves each month, and whether it meets the VA's 36-month recoupment rule. Free, private, no signup.
The new loan saves money each month but costs more over its life, because it restarts a longer term. Try a shorter new term to compare.
Payments shown are principal and interest only. Taxes and insurance usually stay the same after an IRRRL.
🔒 100% private — your numbers stay in your browser. Nothing is uploaded, no email or phone number required.
Rules from 38 U.S.C. 3709 and VA.gov, last checked October 2026. Estimates only; your lender's Loan Estimate is the document that counts.
What does IRRRL mean?
IRRRL stands for Interest Rate Reduction Refinance Loan. It is the VA's own refinance for homeowners who already have a VA loan, and it is often called the VA Streamline Refinance because it skips much of the paperwork of a normal mortgage.
- It only replaces an existing VA loan with a new VA loan, usually at a lower rate or to move from an adjustable to a fixed rate.
- The funding fee is just 0.50% of the new loan, and you can roll it into the loan.
- The VA does not require an appraisal or income verification, although some lenders still ask for them.
- You do not need to live in the home now, only to certify that you lived there before.
To protect borrowers, the VA requires the new loan to pass a net tangible benefit test and to recoup the closing costs within 36 months. This IRRRL calculator checks both for you. For the full rules, read our guide to the VA IRRRL streamline refinance.
How this calculator works
It compares the principal and interest payment on your current VA loan, over the years you have left, with the payment on the new loan. The new loan amount is your balance plus the 0.50% VA funding fee, which almost every borrower finances, plus your closing costs if you choose to roll them in.
Then it runs the two tests that federal law sets for a VA rate-reduction refinance, so you can see before you call a lender whether the deal you are offered is likely to qualify.
The VA's refinance rules at a glance
| Rule | What it requires |
|---|---|
| Recoupment | Fees and closing costs must be recouped through lower monthly payments within 36 months. The funding fee, taxes, escrow and insurance are not counted. |
| Rate reduction, fixed to fixed | New rate at least 0.50 percentage points lower |
| Rate reduction, fixed to adjustable | New rate at least 2.00 percentage points lower |
| Seasoning | At least 210 days since the first payment due date and six consecutive monthly payments made |
| Funding fee | 0.50% of the loan amount, unless you are exempt |
| Occupancy | You certify that you live in the home now or lived in it before |
Sources: 38 U.S.C. 3709 and VA.gov: Interest Rate Reduction Refinance Loan.
An example
Say you owe $280,000 at 7.25% with 28 years left. Your principal and interest payment is about $1,949. You refinance into a new 30-year loan at 6.25%, financing the $1,400 funding fee and $3,000 of closing costs, so the new loan is $284,400 and the payment drops to about $1,751.
That saves roughly $198 a month, so the $3,000 in closing costs is recouped in 16 months, well inside the 36-month limit, and the rate drops by a full point. Even though the new term is two years longer, total interest falls from about $374,900 to about $346,000. Choose a 25-year term instead and the monthly saving shrinks to about $73, but total interest drops to about $278,400.
When an IRRRL may not be worth it
- You plan to move soon. If you sell before you recoup the costs, the refinance loses money.
- The rate drop is small. Below about half a point, the savings rarely cover the costs, and the VA will not guarantee it anyway.
- You are far into your loan. Restarting a 30-year term late in a loan can mean more total interest even with a lower payment.
Want the full picture first? Read our guide to how the VA IRRRL works.
Frequently asked questions
What is the 36-month recoupment rule for a VA IRRRL?
Federal law (38 U.S.C. 3709) requires that the fees and closing costs of a VA refinance be recouped through lower monthly payments within 36 months of the new loan. The VA funding fee, taxes, escrow and insurance are not counted. Divide your closing costs by your monthly savings to see how many months it takes.
How much does my interest rate have to drop for an IRRRL?
For a fixed-rate loan refinanced into another fixed-rate loan, the new rate must be at least 0.50 percentage points lower. If you refinance a fixed-rate loan into an adjustable-rate loan, it must be at least 2.00 points lower.
What is the funding fee on a VA IRRRL?
The VA funding fee for an IRRRL is 0.50% of the loan amount, whether or not you have used your VA benefit before. Borrowers who are exempt, for example because they receive VA disability compensation, pay nothing.
How soon can I refinance with an IRRRL?
The law requires that at least 210 days have passed since the first payment due date of the loan you are refinancing, and that you have made at least six consecutive monthly payments on it.
Can I roll the closing costs into an IRRRL?
Yes. The VA says you can include the closing costs in the new loan so you do not pay them upfront, or choose a slightly higher rate so the lender pays them. Financing the costs raises the loan balance and the payment a little.
Does an IRRRL always save money over the life of the loan?
Not always. If you restart a 30-year term on a loan that had fewer years left, you can pay more interest in total even with a lower monthly payment. Compare the lifetime cost shown by the calculator, or pick a shorter new term.
More tools
VA Loan Payment Calculator — monthly payment and amortization schedule.
VA Funding Fee Calculator — your fee for a purchase, cash-out or IRRRL.
VA Loan Affordability Calculator — how much house can you afford?
VA vs FHA Loan Calculator — compare payments, funding fee vs MIP and total cost.
VA vs Conventional Loan Calculator — compare payments, the funding fee vs PMI and total cost.
VA Entitlement Calculator — remaining entitlement and the largest $0 down loan.
VA Closing Cost Calculator — estimate fees, prepaids and your cash to close.
VA Residual Income Calculator — check the VA residual income test for your family.
VA Loan DTI Calculator — your debt-to-income ratio against the 41% benchmark.
VA Loan Guides — eligibility, closing costs, limits, assumptions and more.