VA Loan IRRRL and Remaining Entitlement

[Jacob R.]

Hi there. I currently have a VA loan I did about 8 months ago for $233,000 at 3.5%. I do not like my home and have been actively figuring a way out prior to the market tanking. I am being offered 2.75% and my new loan balance will be $236,000 for an IRRRL. I was told the occupancy requirements are less restrictive, so it lets me move out and rent my home until the market stabilizes.

I am confused about VA loan entitlement if I wanted to try to get another VA loan. I've seen the loan limits are $510,400 for my county. Does that mean I could get another loan for $510,400 - $236,000 = $274,400? I am aware my DTI will be an issue because I need to rent out my current home for 2 years on tax returns.

Because of the tax returns issue on the rent, I am considering going with a different conventional loan option or paying cash for a new house in the next six months if I am forced to. I might then refi the house with a VA loan once I hit the threshhold of the 2 year tax returns. Any information about conventional or government backed loans that do not require the 2 year tax return history for rental income will be much appreciated.