VA loan 1st home, FHA 3.5 down second home?

1 Reply

Hi, I just purchased my first triplex with a VA loan. Now thinking about the next one. Is it possible to just buy a second multifamily with an FHA loan with 3.5% down? If so, do I have to wait 1 year? Thanks

Originally posted by @Tanee Gosinanonth :

Hi, I just purchased my first triplex with a VA loan. Now thinking about the next one. Is it possible to just buy a second multifamily with an FHA loan with 3.5% down? If so, do I have to wait 1 year? Thanks

 Yes, you have to wait a year.

There are rather narrow criteria under which FHA will count rent from the unit you are vacating, so be ready to either have strong enough day-job income to make up for it, or have a great enough rental year (low vacancies, etc) that you can show tax returns demonstrating that the two rented units cover the full PITI after expenses.

Free eBook from BiggerPockets!

Ultimate Beginner's Guide Book Cover

Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!

  • Actionable advice for getting started,
  • Discover the 10 Most Lucrative Real Estate Niches,
  • Learn how to get started with or without money,
  • Explore Real-Life Strategies for Building Wealth,
  • And a LOT more.

We hate spam just as much as you