Going to look at a couple of duplexes today. Can I use a VA Loan to buy both properties? They are being listed by the same owner. They fall under the maximum allowable limit for four units required by the VA.
It is my understanding that you can purchase a 2-4 unit property utilizing your VA loan but you must make one of the units your personal residence.
I do not think that you can purchase 2-2 unit properties. It is not a cumulative cap.
@Eric Dufault I know that it is definitely possible to have two separate properties under the VA loan at the same time, assuming that they both add up to less than $417k. With that being said, I think that this circumstance typically occurs when someone has PCS'd and wants to hold onto their last property. I'm not sure if they would approve it, but it is worth asking the question. Try reading through the VA Lenders Handbook. It is full of great information, and you might be able to find an answer in there. Would love to hear what you find out.
I actually got off the phone with the VA yesterday and because they fall on two different lots, they are saying it's not possible. I'm still going to call a few different loan officers who have dealt in VA Loans for multi families and see if there is a way to pull it off. Also the maximum increases with each unit, $417k is just the cap on a single unit, I believe it jumps to $567k for two units and all the way into the $800k range for a four unit.
I'm also looking into a VA Loan for one and seller financing for the second. If there is a way to get both with nothing down, I'm going to get both.
Please keep us updated. I have been throwing ideas at my lender about the same subject and they are pretty firm. From what I gathered, they have to be under the same roof, same parcel ID, same listing, etc. I was working a 4-plex but it turned out they were technically all separate properties even though it was 1 seller trying to short sale all 4.
Good luck, and keep us posted!
I bought two duplex homes using the va home loan. They were on 2 different tax numbered lots but both on the same deed. My lender was quickenloans beleive it or not.
Im actually trying to use a 2nd va loan the do the same scenario ive narrowed down another 2 duplex properties owed by the same individual but i do not believe they are on the same deed. Hence why im seeking info on this subject on BP!
Hope that helps
I'm currently in the process of purchasing a Quad which has a similar issue with the property being divided into four separate deeds and parcels of land. In order for the purchase to be eligible for a VA loan, I have to have four parcels consolidated into one deed. So far it looks like my real estate attorney can just work with the seller to rewrite the deed and then I need a survey completed that outlines all four parcels of land combined into one. It turns out that I actually have an older survey from 15 years ago that depicts the land before it was divided, so I'm hoping that I can use this and not pay for a new survey, but we will see.
@Eric Dufault the limits vary by county. I’m
In NYC and my 4 unit cap is around $1.3 million.
Create Lasting Wealth Through Real Estate
Join the millions of people achieving financial freedom through the power of real estate investing