Refinancing should save you about $110+ per month. The new VA funding fee on an IRRRL is only 0.5% so you’d have about $2000 for the new fee and apparently few additional costs. Based on your monthly payment savings you will “recoup” the cost of the new VA fee in about 18 months which I think is a good deal and I have personally done something similar and would recommend it to my sister.
As for switching companies, going through the current lender may be a slight advantage because they are more likely to apply your escrow balance against the pay-off figure but it is a minimal difference. Personally I’d just find the better deal and consider the length of time it might take with both as well as whether I prefer working with one vs. the other. The “pain” of the process can definitely be a consideration.
With rates where they’re at, you should have a good shot at getting 3.25% with the lender paying all your closing costs and funding fee. I’ve written several of these in the last week. Of course, costs depend on the state you live in, but your higher loan balance makes it easier for your lender can cover the costs. Glad to discuss it with you, I lend in all states and (depending on your current servicer) may not even need an appraisal for your loan!
Ted Rood Wintrust Mortgage 314-740-0004