We have a manufactured home built in 1992 with a VA loan. Can we still refinance with VA, and what is the current interest rate? – Stanley


One aspect of a Veterans Affairs home loan that we really love is what’s called the Interest Rate Reduction Refinancing Loan (IRRRL). The VA doesn’t require your lender to submit an appraisal and the loan can be done with no money out of pocket (costs can be rolled into the new loan or offset by a higher interest rate which is OK as long as it’s lower than your current interest rate). Since the VA doesn’t actually lend you the money plus rates and costs will vary between lenders we’d suggest you contact a handful of different lenders to compare their offers. The only “mandatory” cost is a funding fee of one-half of one percent of the loan amount which may be paid in cash or included in the loan. As we noted before, rates will vary between lenders, but as of today (January 11, 2011), you could expect rates around four percent.