top of page
Image by Harry Cunningham

POST

Home  -  Post

Search

Can You Refinance a Home with a VA Loan in Madison? Everything Veterans Need to Know

  • John Reuter
  • Apr 2
  • 3 min read

City skyline with an American flag overlay and the text "Refinancing Your VA Loan." Below is "The Veteran Realtor Podcast" logo.

Can You Refinance a Home with a VA Loan in Madison?

If you’re a veteran or active-duty service member living in the Madison area and wondering if you can refinance your current home using a VA loan—you absolutely can. In fact, refinancing through the VA loan program is one of the most powerful financial tools available to veterans looking to save money, lower their monthly payments, or tap into home equity.


Let’s break down what you need to know about VA loan refinancing in Madison, Wisconsin—including your options, benefits, and local considerations.


Types of VA Loan Refinancing

1. VA IRRRL (Interest Rate Reduction Refinance Loan)

Also called the "VA Streamline Refinance," this is designed for those who already have a VA loan and want to lower their interest rate or switch from an adjustable to a fixed-rate loan.

Key Benefits:

  • No appraisal or income verification

  • Faster processing

  • No out-of-pocket costs (often rolled into the loan)

Perfect for Madison-area vets who locked in at a higher rate and want to take advantage of today’s rates without a ton of red tape. Interest rate must be 1/2 percent lower than current rate, and 210 days from first payment date.

2. VA Cash-Out Refinance

This lets you tap into your home equity and convert it to cash—ideal for home improvements, paying off debt, or other major expenses.

Key Benefits:

  • Can refinance a non-VA loan into a VA loan

  • Access up to 90% of your home’s value

  • Still enjoy the perks of VA loans: no PMI, competitive rates

If you bought your home with a conventional loan in Sun Prairie or Fitchburg and now qualify for a VA loan, this can be a game-changer.


Why Refinance with a VA Loan in Madison?

Madison’s real estate market has grown steadily, meaning many homeowners have built significant equity in just a few years. Combine that with low VA loan interest rates and the absence of private mortgage insurance (PMI), and refinancing becomes a smart move.


Veterans in Dane County are also eligible for property tax credits and state benefits that may work in tandem with a refinance strategy. This could free up hundreds—if not thousands—of dollars each year.


Common Questions About VA Refinancing in Madison

✅ Can I refinance if I’ve already used my VA loan benefits?

Yes! As long as you still have entitlement available, or restore previously used entitlement by paying off the prior loan, you can refinance.

✅ Do I need to live in the home to refinance?

For IRRRLs, you only need to certify that you previously lived there. For Cash-Out refis, the property must be your primary residence.

✅ Are there closing costs?

Yes, but they’re often rolled into the new loan. And because there’s no PMI, the long-term savings often outweigh any up-front costs.


Tips for Veterans Refinancing in Wisconsin

  • Work with a VA-approved local lender who knows the Madison and Dane County markets.

  • Request a VA loan comparison before moving forward with any refi—see if the savings make sense.

  • Consider the timing. Spring and summer often bring better appraisal comps in the Madison area due to seasonal demand.

  • Ask about property tax credits. Wisconsin veterans may qualify for benefits that lower their tax bill—pair that with a refi, and you’re saving big.


John’s Take – A Veteran Helping Veterans

As a USAF veteran myself, I’ve walked this journey and helped dozens of other vets refinance their homes across Wisconsin. Whether you’re stationed at Truax Field, retired in Cottage Grove, or PCSing to the Madison area, your VA home benefits should work for you—not the other way around.


For recommendations on the best VA Lenders in Madison, please call, e-mail or text. I will personally make sure you get the right VA lender to suit your needs.


Let’s run the numbers, review your options, and make a plan that puts more money back in your pocket—without the BS.


Need Help to Refinance a Home with a VA in Madison?


Let’s talk about your goals, whether it's lowering your rate, pulling equity, or switching to a VA loan for the first time. I’ll help you navigate every step.


✅ Check out our YouTube Channel for more benefits and resources—and don’t forget to subscribe!

🔗 Follow & Subscribe:

🌎 Website: theveteranrealtor.com

📸 Instagram: @theveteranrealtor


🎖️ John Reuter, USAF (Ret.)

🎙️ The Veteran Realtor Podcast | Helping Veterans Navigate Benefits, Resources, and Housing

📩 For inquiries or guest requests:

📞 Call/Text: 608-669-4226


Real Broker, LLC

Comments

bottom of page