Can you have two VA home loans?

Can you have two VA home loans?

Reaching a point in life when you can buy a home is hard work. And if you are a veteran or you serve in the army, it can be a greater challenge compared to people who are not. What options do you have if you are a veteran and want to buy a house? Well, there’s one mortgage option specifically for veterans: a VA loan. Can you have two VA home loans?

What is a VA loan?

The VA loan is a mortgage that is provided by private lenders and supported by the US Department of Veterans Affairs. He helps US veterans, active servants, and widowed military spouses to buy a home.

VA loans were introduced under the GI Bill in 1944, but they have become increasingly popular in recent years. In the first quarter of 2019, 8% of home purchases were made with a VA loan. This type of loan is an attractive option because it is easy to qualify and requires no down payment. 

Benefits of a VA home loan 

Let’s take a look at some of these benefits now and recall once again how VA home loans are really beneficial. This is an advantage that civilians do not enjoy and it is actually an allowance.

The most obvious benefit is the lack of money option. The veteran does not require any advance payment unless the loan exceeds the maximum guidelines of the lender VA. Most loans are limited by VA lenders at USD 417,000, which is higher in some areas considered “high costs”.

Everyone who buys a home knows how difficult it is to save enough funds for an advance payment and closing costs. Even FHA loans, which require a down payment of 3.5 percent, can still be challenging, especially for first-time home buyers who save and save on buying their first home. Zero down is a huge plus. 

Can you have two VA home loans?

Can you have two VA loans at once?

This does not happen often, but it is possible to have two VA loans at once.

At present, a borrower with full credit entitlements and full entitlements has sufficient support for a USD 424.100 loan in most counties in the US. With an average VA loan of around $ 210,000, most veterans have some right to stay after taking advantage of housing loan benefits. Although VA requires the loan to be repaid in full and the house sold before entitlement is restored, there is a one-time exception to this rule.

For most lenders, you must have a leased tenant and a security deposit to offset the first repayment of your VA mortgage. Closing the tenant helps in the debt-to-income relationship as it balances the mortgage payment, unfortunately no additional rent income can be used to qualify for the second loan. For example, suppose your monthly mortgage payment is $ 800, but you charge tenants $ 1,000. These additional $ 200 cannot be used as additional income to qualify for a second VA loan. Secondary income income qualifications may vary by lender, so be sure to ask for the necessary insurance guidelines when applying for a second home.

In addition, you still need to meet the conditions for a VA loan, which means that this new home must be your primary residence. You must occupy a new home before the specified period (usually 60 days) after closing.

VA loans are probably the best loan program available. So if you qualify, make sure you know how to get the most out of it. If you have questions about keeping your home and buying again, contact your mortgage bank.



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