First Time Buyer. VA Loan vs FHA?

[KHAI HUYNH]

Hello BP Members,

My name is Khai, I recently joined BP in search for helpful tips and advice for real estate investing. I proudly served 8 years in the US Army, and now a veteran. So, my story is that I'm currently house-hunting for my first home, mainly 2-4 unit multifamily properties. I was pre-approved for a 200k mortgage loan and I found a 2-family property for 119k. The condition of the house is not so great, but the location is great, nice peaceful and safe neighborhood, not far from the highway, and local markets.

Although it needs work inside, such as a new kitchen, new heating system, and possibly a new roof. I feel like this is a great opportunity, and with some renovating, I believe it will increase its value tremendously. Also, renting out the other unit will definitely help out. But, I'm having a tough time figuring out what steps I should take to move in the right direction.

I've been looking into two loans, FHA and VA Loans. With a FHA Loan, I understand there's a requirement of 3.5% down-payment. VA Loans is 0% down-payment, which is very nice. I am interested in FHA because it offers the 203K Rehab Loan, while VA Loans requires me to find a home, ready-to-move in.

I guess my question is that, should I take a chance with the FHA Loan and renovate the property to my liking, that will increase its value over time or save money purchasing a home ready-to-move in, and wait for another opportunity house to pop up?

Thanks in advance for your time. Any tips, advice, recommendations, or suggestions are much appreciated.