Classifying potential buy as primary or investment property

[Tyler Youtzy]

Hello all, first post.

Im looking to buy a new primary home while I still have another property on the books and not sure how it will be treated in a mortage.

I will explain the best I can and start with some background.

I'm currently deployed, and going through a divorce that should be finalized by the time I'm back home. I'm getting the house in the divorce, but I will have to split the equity. Ultimately I would like to utilize this home to get my foot in the door to real estate investing. Because of the drastic rise in home prices and interest rates, and not knowing exactly what the home will appraise for just yet, I dont know whether or not I will be able to pay the difference in equity out of pocket to my ex, or be forced to sell the property as refinancing out the difference in this market is not fiscally reasonable option for me.

One way or another, I will not be treating that house as a primary residence within the next ~6 months as I'd like to be completely moved out and it will either be utilized as a 1031 or a rental. That being said, as I'm looking for loans for a new home purchase that I intend on moving into. Am I able to get the cheaper rates that go along with primary home loans, as this is my ultimate goal/intention, or will the underwriters push that it needs to be written as an investment property that needs 20% down?

I can afford to pay the 20% on the house, but would much rather utilized the 0/low down payment of a VA loan.

Any advice is appreciated, thank you.

[Dave Skow]

@Tyler Youtzy- thanks  1)  you will need to occupy the new home within 30 days of purchasing it ...if your ability to occupy  will be   several months  into the future  - many lenders  will have an issue   2) In order to offset the present home you own with  rental income -  you will need to provde the lender with the new signed lease  froma  new tenant  ...otherwise - the  full payment will be used in  qualifying ratios 3)  if there has been any formal documents  recording regarding the  pending  divorce  - this will likely  cause lenders to  require the  divorce is   finailized before any new closing can occur