A VA loan can only be used to buy a primary residence, since the purpose of VA financing is to help veterans and service members buy and live in their own homes. But that home can be a multi- family unit (up to four) if the veteran plans to live in one of the units. That can be a boon to veterans who want to earn income from their property to help them build equity and pay off their mortgage. But being a landlord comes with risks as well, so be sure you can afford your mortgage if you can’t rent all your units. VA loans cannot be used to buy multiple residences to build real estate portfolios.
WHO IS ELIGIBLE FOR A VA LOAN?
VA loans are not only available to veterans, but also to other classes of military members and surviving spouses.
The list of eligible borrowers for a VA loan includes:
• Active-duty service members • Members of the National Guard • Reservists • Surviving spouses of veterans • Cadets at the U.S. Military, Air Force or Coast Guard Academy • Midshipmen at the U.S. Naval Academy • Officers at the National Oceanic & Atmospheric Administration.
A minimum term of service is typically required.
Those terms are:
• Served 181 consecutive days of active duty during peacetime
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