VA loan for building a triplex

[Charles Walthour]

My wife and I are closing in less than 2 weeks on a piece of property that we wanted to build a triplex. Our intention is to have one unit as our primary residence and rent out the other two. We are in a very popular vacation spot. Everything has been going well until today when she tells me that the VA is currently not doing loans for a triplex and that we will have to go with a FHA loan, thus a heavy down payment.

How can I check this out?  This doesn't seem right to me, but with the Covid19 Virus, banks are doing some strange things, but this one stuck in my craw!

[Trenton Miller]

Originally posted by @Charles Walthour:

My wife and I are closing in less than 2 weeks on a piece of property that we wanted to build a triplex. Our intention is to have one unit as our primary residence and rent out the other two. We are in a very popular vacation spot. Everything has been going well until today when she tells me that the VA is currently not doing loans for a triplex and that we will have to go with a FHA loan, thus a heavy down payment.

How can I check this out?  This doesn't seem right to me, but with the Covid19 Virus, banks are doing some strange things, but this one stuck in my craw!

I do not believe you can use a VA nor an FHA loan for a new construction build... I'm not the appropriate professional to tell you you can't do this so please check with your lender.

Regardless you should have had financing arranged to build the triplex prior to closing on the land you intend to build on.