source:
  type: regulation
  id: va-38cfr-36.4307
  authority: 38 CFR §36.4307 — Interest rate reduction refinancing loan
  description: '38 CFR §36.4307 sets the VA regulatory eligibility requirements for an

    Interest Rate Reduction Refinancing Loan (IRRRL) guaranteed under

    38 U.S.C. 3710(a)(8), (a)(9)(B)(i), and (a)(11). The rule conditions VA

    guaranty/insurance on a closed list of structural requirements: same-

    dwelling security, veteran occupancy (or qualifying prior occupancy /

    active-duty spouse occupancy), payment-or-term-reducing benefit (or

    fixed-rate-refinances-ARM / EEM / Secretary-approved imminent-

    foreclosure carve-outs), refinance-amount cap, delinquent-loan

    Secretary-prior-approval rule, guaranty-amount cap, and term cap.

    '
obligations:
- id: va-38cfr-36.4307-a
  canonical_id: va-38cfr-36.4307-a
  section: 38 CFR §36.4307(a)
  description: '(a): (a) Pursuant to 38 U.S.C. 3710(a)(8) , (a)(9)(B)(i), and (a)(11), a veteran may refinance
    an existing VA guaranteed, insured, or direct loan to reduce the interest rate payable on the existing
    loan provided that all of the following requirements are met: (1) The new loan must be secured by
    the same …'
  type: do
  tags:
  - regulator-direct
  - section-complete
  - cfpb-regulation
  primary_source:
    tier: 1
    authority: 38 CFR §36.4307(a)
    source_class: va-regulation
    source_url: https://www.law.cornell.edu/cfr/text/38/36.4307
    snapshot_id: 994744a0c6edc3e4
    fetched_at: '2026-05-24T19:34:24Z'
    content_hash: sha256:23102a370a5bd287e3b6526e92748e65fc39e43e8ac0d094ca45b3ccf2312645
    paragraph_quote: '(a) Pursuant to 38 U.S.C. 3710(a)(8) , (a)(9)(B)(i), and (a)(11), a veteran may
      refinance an existing VA guaranteed, insured, or direct loan to reduce the interest rate payable
      on the existing loan provided that all of the following requirements are met: (1) The new loan must
      be secured by the same dwelling or farm residence as the loan being refinanced. (2) The veteran
      owns the dwelling or farm residence securing the loan and'
    drafter_attestation: Verbatim subsection of 38 CFR §36.4307 from Cornell LII snapshot 994744a0c6edc3e4;
      body isolated between nav and notes; substring-verified.
  judgment: false
- id: va-38cfr-36.4307-i
  canonical_id: va-38cfr-36.4307-i
  section: 38 CFR §36.4307(i)
  description: '(i): (i) Occupies the dwelling or residence as his or her home ; or (ii) Previously occupied
    the dwelling or residence as his or her home and certifies, in such form as the Secretary shall require,
    that he or she has previously occupied the dwelling or residence as a home ; or (iii) In a case in
    which th…'
  type: do
  tags:
  - regulator-direct
  - section-complete
  - cfpb-regulation
  primary_source:
    tier: 1
    authority: 38 CFR §36.4307(a)
    source_class: va-regulation
    source_url: https://www.law.cornell.edu/cfr/text/38/36.4307
    snapshot_id: 994744a0c6edc3e4
    fetched_at: '2026-05-24T19:34:24Z'
    content_hash: sha256:23102a370a5bd287e3b6526e92748e65fc39e43e8ac0d094ca45b3ccf2312645
    paragraph_quote: '(i) Occupies the dwelling or residence as his or her home ; or (ii) Previously occupied
      the dwelling or residence as his or her home and certifies, in such form as the Secretary shall
      require, that he or she has previously occupied the dwelling or residence as a home ; or (iii) In
      a case in which the veteran is or was unable to occupy the residence or dwelling as a home because
      the veteran was on active duty status as a member of the Armed Forces, the spouse of the veteran
      occupies, or previously occupied, the dwelling or residence as the spouse''s home and certifies
      to that occupancy in such form as the Secretary shall require. (Authority: 38 U.S.C. 3710(e)(1)
      ) (3) The monthly principal and interest payment on the new loan is lower than the principal and
      interest payment on the loan being refinanced; or the term of the new loan is shorter than the term
      of the loan being refinanced; or the new loan is a fixed-rate loan that refinances a VA-guaranteed
      adjustable rate mortgage; or the increase in the monthly payments on the loan results from the inclusion
      of energy efficient improvements , as provided by § 36.4339(a)(4) ; or the Secretary approves the
      loan in advance after determining that the new loan is necessary to prevent imminent foreclosure
      and the veteran qualifies for the new loan under the credit standards contained in § 36.4340 . (4)
      The amount of the refinancing loan does not exceed:'
    drafter_attestation: Verbatim subsection of 38 CFR §36.4307 from Cornell LII snapshot 994744a0c6edc3e4;
      body isolated between nav and notes; substring-verified.
  judgment: false
- id: va-38cfr-36.4307-i
  canonical_id: va-38cfr-36.4307-i
  section: 38 CFR §36.4307(i)
  description: '(i): (i) An amount equal to the balance of the loan being refinanced, which is not delinquent,
    except as provided in paragraph (a)(5) of this section, plus closing costs authorized by § 36.4313(d)
    and a discount not to exceed 2 percent of the loan amount; or (ii) In the case of a loan to refinance
    an exi…'
  type: dont
  tags:
  - regulator-direct
  - section-complete
  - cfpb-regulation
  primary_source:
    tier: 1
    authority: 38 CFR §36.4307(a)
    source_class: va-regulation
    source_url: https://www.law.cornell.edu/cfr/text/38/36.4307
    snapshot_id: 994744a0c6edc3e4
    fetched_at: '2026-05-24T19:34:24Z'
    content_hash: sha256:23102a370a5bd287e3b6526e92748e65fc39e43e8ac0d094ca45b3ccf2312645
    paragraph_quote: '(i) An amount equal to the balance of the loan being refinanced, which is not delinquent,
      except as provided in paragraph (a)(5) of this section, plus closing costs authorized by § 36.4313(d)
      and a discount not to exceed 2 percent of the loan amount; or (ii) In the case of a loan to refinance
      an existing VA-guaranteed or direct loan and to improve the dwelling securing such loan through
      energy efficient improvements , the amount referred to with respect to the loan under paragraph
      (a)(4)(i) of this section, plus the amount authorized by § 36.4339(a)(4). (Authority: 38 U.S.C.
      3703 , 3710 ) (5) If the loan being refinanced is delinquent (delinquent means that a scheduled
      monthly payment of principal and interest is more than 30 days past due), the new loan will be guaranteed
      only if the Secretary approves it in advance after determining that the borrower, through the lender
      , has provided reasons for the loan deficiency, has provided information to establish that the cause
      of the delinquency has been corrected, and qualifies for the loan under the credit standards contained
      in § 36.4340 . In such cases, the term “balance of the loan being refinanced” shall include any
      past due installments, plus allowable late charges. (6) The dollar amount of guaranty on the 38
      U.S.C. 3710(a)(8) or (a)(9)(B)(i) loan does not exceed the greater of the original guaranty amount
      of the loan being refinanced or 25 percent of the new loan . (7) The term of the refinancing loan
      ( 38 U.S.C. 3710(a)(8) ) may not exceed the original term of the loan being refinanced plus ten
      years, or the maximum loan term allowed under 38 U.S.C. 3703(d)(1) , whichever is less. For manufactured
      home loans that were previously guaranteed under 38 U.S.C. 3712 , the loan term, if being refinanced
      under 38 U.S.C. 3710(a)(9)(B)(i) , may exceed the original term of the loan but may not exceed the
      maximum loan term allowed under 38 U.S.C. 3703(d)(1) . (Authority: 38 U.S.C. 3703(c)(1) , 3710(e)(1)
      )'
    drafter_attestation: Verbatim subsection of 38 CFR §36.4307 from Cornell LII snapshot 994744a0c6edc3e4;
      body isolated between nav and notes; substring-verified.
  judgment: false
- id: va-38cfr-36.4307-b
  canonical_id: va-38cfr-36.4307-b
  section: 38 CFR §36.4307(b)
  description: '(b): (b) Notwithstanding any other regulatory provision, the interest rate reduction refinancing
    loan may be guaranteed without regard to the amount of guaranty entitlement available for use by the
    veteran, and the amount of the veteran''s remaining guaranty entitlement, if any, shall not be charged
    for a…'
  type: dont
  tags:
  - regulator-direct
  - section-complete
  - cfpb-regulation
  primary_source:
    tier: 1
    authority: 38 CFR §36.4307(a)
    source_class: va-regulation
    source_url: https://www.law.cornell.edu/cfr/text/38/36.4307
    snapshot_id: 994744a0c6edc3e4
    fetched_at: '2026-05-24T19:34:24Z'
    content_hash: sha256:23102a370a5bd287e3b6526e92748e65fc39e43e8ac0d094ca45b3ccf2312645
    paragraph_quote: '(b) Notwithstanding any other regulatory provision, the interest rate reduction
      refinancing loan may be guaranteed without regard to the amount of guaranty entitlement available
      for use by the veteran, and the amount of the veteran''s remaining guaranty entitlement, if any,
      shall not be charged for an interest rate reduction refinancing loan . The interest rate reduction
      refinancing loan will be guaranteed with the lesser of the entitlement used by the veteran to obtain
      the loan being refinanced or the amount of the guaranty as calculated under § 36.4302(a) . The veteran''s
      loan guaranty entitlement originally used for a purpose as enumerated in 38 U.S.C. 3710(a)(1) through
      (7) and (a)(9)(A)(i) and (ii) and subsequently transferred to an interest rate reduction refinancing
      loan ( 38 U.S.C. 3710(a)(8) or (a)(9)(B)(i)) shall be eligible for restoration when the interest
      rate reduction refinancing loan or subsequent interest rate reduction refinancing loans on the same
      property meets the requirements of § 36.4302(h). (Authority: 38 U.S.C. 3703(a) )'
    drafter_attestation: Verbatim subsection of 38 CFR §36.4307 from Cornell LII snapshot 994744a0c6edc3e4;
      body isolated between nav and notes; substring-verified.
  judgment: false
- id: va-38cfr-36.4307-c
  canonical_id: va-38cfr-36.4307-c
  section: 38 CFR §36.4307(c)
  description: '(c): (c) Title to the estate which is refinanced for the purpose of an interest rate reduction
    must be in conformity with § 36.4354 . (The Office of Management and Budget has approved the information
    collection requirements in this section under control number 2900-0601) (Authority: 38 U.S.C. 3710(a)(8)
    …'
  type: do
  tags:
  - regulator-direct
  - section-complete
  - cfpb-regulation
  primary_source:
    tier: 1
    authority: 38 CFR §36.4307(a)
    source_class: va-regulation
    source_url: https://www.law.cornell.edu/cfr/text/38/36.4307
    snapshot_id: 994744a0c6edc3e4
    fetched_at: '2026-05-24T19:34:24Z'
    content_hash: sha256:23102a370a5bd287e3b6526e92748e65fc39e43e8ac0d094ca45b3ccf2312645
    paragraph_quote: '(c) Title to the estate which is refinanced for the purpose of an interest rate
      reduction must be in conformity with § 36.4354 . (The Office of Management and Budget has approved
      the information collection requirements in this section under control number 2900-0601) (Authority:
      38 U.S.C. 3710(a)(8) , (a)(9)(B)(i) and (e)) [ 73 FR 6310 , Feb. 1, 2008. Redesignated at 75 FR
      33705 , June 15, 2010, as amended at 75 FR 65238 , Oct. 22, 2010] CFR Toolbox Law about... Articles
      from Wex Table of Popular Names Parallel Table of Authorities Accessibility About LII Contact us
      Advertise here Help Terms of use Privacy'
    drafter_attestation: Verbatim subsection of 38 CFR §36.4307 from Cornell LII snapshot 994744a0c6edc3e4;
      body isolated between nav and notes; substring-verified.
  judgment: false
