Taking over a VA loan.

[Jon Jonhson]

Hi I have a friend in Tennessee who bought a home near an army base and has been relocated. He is looking to get out of his loan and isn't trying to make a profit. He wants the ability to buy a new house with his va loan but he can only have one. I am wondering what ways can I take over his loan, and get him out out of his va loan with low or no money down?

[Tim Speer]

what i would do is if i was you is i would do a Subject-to,  but actually him claim to "rent it out" to you so that way the va can see he has been relieved of financial responsibility enabling him to get him his new loan as long as he can qualify for the va loan again. But do a contract for a subject-to and make a separate contract admitting and him signing "nothing will be carried out on the lease and has the intention of selling to buyer using subject-to.      But you will be able to make his payments to fund the purchase.   just dont miss a payment after deed transfer to avoid initiating the due on sale clause.

I know this will work because we just did it.  i have my second house already using this method.  

If you need further information dont hesitate to send me a message.