Down payment help

[Christian Riffle]

My wife and I rented our first home out that we bought with a VA loan. We profit $1,023 a month which allows us to live in our primary home now. We are ready to acquire more rentals but are wondering where to go for funding? We do not have enough equity in either home for a HELOC so we are back to square one. Any help would be appreciated!

[Michael Dumler]

@Christian Riffle, a non-QM loan product such as a DSCR loan could be viable if you can put up a 20% downpayment. Please do your research, but according to my understanding, a DSCR looks at the property's projected income potential and does not account for the borrower's DTI, credit score, income, etc. Or going the conventional route is plausible, but your credit, DTI, and income will be accounted for. On-market BRRRR deals in ATL do not exist, no homeowner is going to list their property below market. If you want to put in the work and capital to source an off-market deal then that's a whole new discussion. Ideally, your second home purchase should have been some sort of house hack setup. I'm assuming you all would not want to sell your current residence and purchase a house hack deal?