Refinancing from VA to conventional.
Hello, I’m Julian .
Hoping to get some advice for my next move. I am trying to buy a home in San Diego with the VA loan for a house hack. Due to having a VA condo loan in Virginia the VA currently will only allow finance for $580k in San Diego without needing a down payment. Im looking for a 2-3.5 bath, 3-5 bed and would like to have the option to go higher in price. If I were to change my Virgina VA loan to conventional my limit would increase significantly. I spoke to my VA lender and they quoted me on a refinance Into conventional that would cost about $50 more per month than my current monthly mortgage and I'm definitely ok with refinancing at that cost. Doing this would free up my VA loan to an unlimited amount as long as it's approved by a lender.
My question: What should I consider when switching from a VA loan to conventional? What are the pros and cons? Will there be any benefits that I will be losing?