This information is for veterans looking to use their Certificate of Eligibility to purchase a new second home:
- Both mortgages combine can not exceed $417,000 VA loan limit - Both the current and proposed PITI must be used to qualify the borrower for the new loan - Minimum reserves of 6 months PITI for both properties are required. However, only reserves of 2 months PITI are required for both properties if 30% equity in the existing principal residence is documented with:
Â Â Â - 30% equity can be established via an appraisal or mortgage statement showing itÂ hasÂ been paid down by 30%.
Qualifying Ratio: Maximum qualifying debt-to-income ratio is 41%. Ratio may be exceeded with an acceptable AUS certificate.