VA One-Time Close / Construction Loan in Los Angeles area

[Vladislav Bobkov]

Hello BP Community! 

I am researching VA OTC loans in Southern California (Los Angeles County).
Currently in the military, and will be getting out in May 2026. I and my spouse are planning on buying a small multifamily and house hack. On public websites, I see some options to acquire a duplex in central Los Angeles under $550K which would require at least another $50K of work if I do not outsource most of the labor. I am taking a salesperson license exam this year to get into the industry and use these commissions toward closing costs. I think it would be the right direction since we already decided to buy using a VA loan and live in SC. 

Now, the VA Construction loan is something I discovered recently. I was amazed at how good this type of loan is. Naturally, I wanted to find out whether we would be able to build a brand-new fourplex in Los Angeles County. Unfortunately, I have not been able to find enough information on how to use this product in California. I have heard you have to own land with all permits and engineering completed before closing on the construction loan exclusively in California. 

With that being said, I am trying to find out if new construction is even possible and what it takes to build a small multifamily in the LA area.