Do you already have a VA loan? Do you have more than one property? Do you want to capitalize on using your eligibility again? These questions are important to ask yourself when you are ready to use your eligibility on your second home.
Many veterans do not know that they are able to purchase and qualify the same way they did on their first VA home. The process is called Second-Tier Entitlement. The VA does allow a veteran to have two homes at the same time; however the veteran must qualify again. The qualifications involve representation on your first home in order to show you’re up to date with mortgage payments and etc.
For veterans they are often moved without a lot of notice so thats why the second-tier entitlement is good to be aware of. By being able to use their eligibility again they do not have to wait to sell their first home before they purchase a new loan with the eligibility.
There is a limit on your entitlement so if you have enough entitlement for the second home then perfect! It can be complicated but it doesn’t have to be if you are working with the right lender. A lot of lenders are mislead regarding the second-tier entitlement. It is important that you understand the entitlement requirements and that the lender you use does as well.
For refinancing the second property it is just like the first refinance.