VA Home loan

7 Replies

What's up BP world,

So, I plan on using the VA home loan to buy my first home AND investment property. I plan on getting a multiplex; live in one unit and rent out the other(s). Do you guys think this a good idea? Any tips? How long do I have to physically stay in the property before it can solely be an investment property?

Lots of people have done that! We have even split my husbands loan into 2 houses! In a va loan you have to live there for 1 year unless you have orders else where!

Originally posted by @Elizabeth Colegrove:

Lots of people have done that! We have even split my husbands loan into 2 houses! In a va loan you have to live there for 1 year unless you have orders else where!

Thank you Elizabeth, are there any down sides to the VA loan you'd like to share, opposed to using a conventional loan?

VA loans are great. Not useful for investments imo but great for personally owned. They will do multis too but I think there is a unit limit.

I can't say I really have any complaints.

I first used my VA loan for a triplex in 1993- best investment I ever made. I just used my VA a second time to purchase a duplex. There are some considerations to be aware of:

-You must have proven previous landlord experience

A VA loan will not work on your 1st property unless you are a property manager and can prove it. If you have no landlord experience here is my suggestion (this is how I started):

1. Use FHA loan: 3.5% down- you can use a gift from a family member for the down payment.

2. Occupy property for 1 year (FHA requirement)

3. Purchase next multi-unit with VA loan

@Elizabeth Colegrove, how were you able to "split the loan into 2 houses"?

How does that work with having to live in the house? Obviously, it's not possible to have two houses as your primary residence.