For context, I will be assuming his VA loan at 5.1% and he will be doing seller financing for the remaining equity and sale price. 

For "Foreign Borrowers" your loans are very limited. 

After funding 2,000+ loans across the country I know most lenders will have issues with these 2 things.

Speak with lenders - and consider that although they might agree they could lend to you today - they might not be able to when you need the loan.Unless the existing debt has no due-on-sale provision, there will always be a risk of the underlying loan being called.If it were to be called due:1.

We process, underwrite, close and fund the loan.  

Rates are high, usually in the high 8s or low 9s, and you may pay 2-4 points on the loan. 

2nd home loan How did you add value to the deal?

Instead, consider a HELOC or home equity loan to fund repairs, as the interest may be deductible if used for home improvements.This post does not create a CPA-Client relationship.

Your loan would be on a different property so no financing on the property you are buying. 

Unless it’s specified by your loan type or lender, you don’t have to.