All Forum Posts by: Joshua Hardy

Yes, those are the ways to FULLY restore entitlement (refi, disposition/sell). You can get a ONE TIME full entitlement restoration with a refi, but you can only do that one time, so any other VA loan you get after that, you'll have to sell the property to restore entitlement. But that only pertains to fully restoring your entitlement.. you can still buy with your second tier entitlement. The person you were talking to at the VA probably didn't know about second tier... you'd be surprised how many lenders, realtors, VA personnel, active duty/veterans, etc don't know about second tier entitlement, but it's right there on the VA's site https://www.va.gov/housing-***... 

And yes, I thought my calculation was correct, but the  county loan limits changed recently and I'm not sure if your remaining is based off of current county limits or the limits that were in effect when you purchased, but either way, a remaining $40k is still (40 * 4) $160k with $0 down! So yeh, definitely circle back... you don't need to talk to the VA, your entitlement is what it is, just gotta calculate the second tier. The most important thing is to find a lender who specializes in VA loans... he/she will know this stuff inside and out. 

Fellow veteran here... I also used VA loan to buy 4plexs!... Are you aware of your second tier entitlement for the VA loan? Based on the numbers you provided, you should still have some remaining entitlement. I calculated it for you, but double check with a lender... make sure you find a lender who specializes in VA loans, cuz most don't even know about second tier entitlement:

 To calculate the remaining entitlement for a VA loan after purchasing a home in Cook County, Illinois, we'll first determine the entitlement used for the initial purchase and then calculate the remaining entitlement based on the county loan limit.

1. You bought a home for $550,000. The VA guarantees 25% of the loan amount, so the entitlement used is:

   Entitlement used = $550,000 * 0.25 = $137,500
   

2. The basic VA loan entitlement is $36,000. Since you used more than the basic entitlement in the first loan, we will have to consider the bonus entitlement, which is based on the county loan limit.
3. In Cook County, Illinois, the loan limit is $726,000. The VA guarantees up to 25% of the loan limit, so the maximum total entitlement available in Cook County is:

   Maximum total entitlement = $726,000 * 0.25 = $181,500
   

4. To find your remaining entitlement, subtract the entitlement used in the first loan from the maximum total entitlement:

   Remaining entitlement = Maximum total entitlement - Entitlement used Remaining entitlement = $181,500 - $137,500 = $44,000
   

So, you have a remaining entitlement of $44,000 for a second VA loan in Cook County, Illinois. Keep in mind that other factors such as your debt-to-income ratio and credit score will be taken into account when determining your eligibility for a second VA loan. It's a good idea to consult with a VA-approved lender or a VA loan specialist for personalized guidance

But with $44,000 in remaining entitlement, this means the VA will back you for another property up to (44,000 * 4) $176,000! So you can get something for $176k and put $0 down, or get something higher and you'd only have to put money down on whatever amount above the $176k... So maybe you get a primary residence (SFH, or duplex or something) with your VA second tier entitlement... you and your wife can live there for a year, then it becomes another rental for you.

There aren't really any multifamily properties in B class neighborhoods in Las Vegas. 

I use and like Avail. 

I own 4plexs in Vegas, If you're local and have the time, you should probably manage yourself in my opinion. I manage my own just fine. 

As others have stated, you're not going to find anything in Vegas for under $150k; maybe if you find really great wholesaler, but I still doubt it. Maybe a very small 1bdr Condo is possible, but the cashflow from that isn't going to be worth splitting with a group of friends in my opinion. You might want to look a lot further east like Dayton, OH, Memphis TN, Cleveland, Detroit, etc. Look at markets where property is a lot cheaper, but the rents are still between 800-1k because these areas will get you the cashflow you're looking for. I understand Vegas is ideal because it's right next door to Cali, but you're gonna need to more than double what you'd like to purchase something for. 

Hey Chris, if you're certain it won't cashflow, I don't really see the point in keeping it honestly. 

Issac, you're about to join the military. As a veteran, trust me bro, the benefit of the VA loan is about to be a game changer for you. Don't worry about a crash or being priced out. All you need to worry about are the numbers on the property. Make sure the property cashflows and you'll be fine.

I've received 100% for March, and April from my 3 tenants. I talked to my tenants when all this started and struck a deal with them if they can't pay. They've all been able to pay so far and all agreed to let me know if/when they are unable to pay. I haven't heard anything, so I'm expecting 100% for May as well. 

@terry Lao, wow, good info Terry! I own a 4plex in Henderson and looking to get another. This thread was insightful! Thank you all