I am looking to use a VA loan to get a house but want to purchase a rental property and get started on getting cashflow.

My purchase was an HOA lien on an apartment.

Hey Denise, Are you looking to do a refinance loan or a purchase loan?

@Danny Celestin- thanks   1) yes - there is a large  difference bwtween  investment property and  preimary residence pricing  2)  assuming the 2 quotes provided are for  investment  properties - these are not too bad for a 2-4 unit purchase 

The rate sounds low..conventional mortgage primary purchases are in the high 6%'s-low 7%'s..The 5 year PPP is a little heavy as usually declining..5%.4%.3%..can also consider 'buying out' of the PPP usually around 1-1.5% of the loan amount upfront..

I'm wondering what will the possible penalty to be if the property we purchased not as our primary residence by using VA or FHA loan after lender found out?

He should have been able to find at least 80% LTV.  80% LTV is still a norm on purchase, but it's about what can make the numbers work which many times these days constrains LTV. 

I purchased it as a single family with a VA loan and used the BRRR strategy.

Are you looking to purchase (and fix) the 2nd home?

Depending on the lender for a DSCR rental property loan, rates will be about 0.125% to .25% lower if you put 25% versus 20% down on an investment property purchase if it's the same borrower credit score and profile being analyzed.