馃攳
Two VA Loans At The Same Time - Secondary Entitlement (2020 Updated) - YouTube
Channel: Emmett Dempsey
[0]
hey welcome and welcome back to the
[1]
channel on this video we're talking all
[3]
about getting two
[4]
va loans at the same time yes it is
[6]
possible to do so
[8]
uh first of all i'm emmett dempsey
[10]
mortgage broker and owner of treasure
[11]
coast mortgage here in portland lucy i'm
[12]
also a us army veteran so va loans are a
[15]
special topic of mine
[16]
on this channel we talk more about
[18]
mortgages the home buying process and
[19]
some cool things around
[20]
port st lucie and the treasure coast
[22]
here in florida so if you're moving to
[23]
florida i definitely want to talk to you
[25]
if you're new here on the channel please
[26]
sing about subscribing okay
[28]
there have been some changes to the va
[30]
mortgage loan uh
[31]
it was the uh the blue water navy
[34]
vietnam veterans act of 2019
[36]
uh that had changed some things mainly
[38]
if you had full entitlement so if you've
[40]
never used your va loan before
[41]
you can buy a house with no uh maximum
[44]
so you want to buy a million dollar
[45]
house with no down payment you can
[47]
so that was one major change however
[49]
there's something called secondary
[50]
entitlement
[51]
um and i did this video once before when
[53]
i was at my previous company
[55]
uh and since since then the uh the loan
[57]
limits have changed
[58]
so i i decided to redo this video so if
[62]
you're
[62]
uh i got a lot of calls a lot of emails
[64]
uh about this topic about getting two
[66]
vehicles at the same time i want to go
[67]
into into further detail
[68]
about how that's possible um so so you
[71]
may be a veteran have a va loan you're
[73]
you're moving
[74]
or even if you're in the same town and
[75]
you want to buy something else and and
[77]
or build or or do something but you
[79]
don't want to get rid of that property
[81]
you might have bought it low
[82]
and at cash flows and especially at a
[84]
great rate
[85]
um and so you might want to keep it so
[87]
how do you buy second property with a
[88]
little out of pocket well the va is a
[90]
really
[90]
good loan program i'm going to show you
[92]
exactly how that's possible here in a
[93]
minute
[94]
um effectively you know those terms of
[96]
debt that you needed to know
[98]
basically is about entitlement uh
[100]
secondary entitlement
[102]
and and all that stuff so when you have
[104]
your full entitlement
[105]
of 36 000 uh you know times that by four
[109]
that's 144 thousands
[110]
you might see that number around the
[112]
internet it needs to be more than 144
[114]
000.
[115]
um that's because va will guarantee 25
[118]
um
[118]
against loss that's its insured loan you
[121]
know that's why the rates are so good
[123]
because va will uh insure against
[125]
default
[126]
so that number you know times 4 25 is
[129]
how we arrive at
[130]
a lot of these things um but in essence
[133]
it's really based off your county loan
[134]
limit
[135]
and that they're set you know every year
[137]
or so by the fhfa
[140]
um and the currently it's five hundred
[141]
and ten thousand four hundred
[143]
uh here here in st lucie county florida
[145]
where i'm at and that's that's the same
[146]
for for most counties uh throughout
[148]
america
[149]
so really and it all depends on how much
[151]
uh
[152]
entitlement you have to have charged
[153]
against you um if you had a four-part
[155]
foreclosure it's really an individual
[156]
case you know so you know definitely you
[158]
know coming case by case to see what you
[159]
qualify for
[160]
but really it's essentially 510 400 um
[164]
is basically the total loans that you
[166]
can have so you if you bought a property
[168]
you know for 310 you know 400 you can do
[171]
another 200 000 house you know that's
[173]
really
[174]
and and that's how you arrive there and
[176]
you'll see in the calculations
[177]
if you live in a high cost county
[179]
especially like in virginia california
[182]
you know you can buy even more property
[183]
so let's go ahead and take a look
[185]
and go into a detailed explanation of
[187]
the va secondary entitlement to buy two
[189]
homes at the same time here we go
[191]
okay welcome to my handy-dandy little
[193]
excel spreadsheet i'm definitely an
[194]
excel nerd um
[196]
for about everything um so basically
[198]
what we have here
[199]
is a calculation of um how to calculate
[202]
secondary entitlement how
[203]
you can what how much house you can buy
[206]
with your second va loan should you
[208]
choose to do so
[209]
i'm going to do that calculation now as
[211]
i said i mentioned before
[212]
it all starts with the county loan limit
[214]
okay so
[215]
in most counties in the country uh in
[217]
2020 it's five hundred and ten thousand
[219]
four hundred i'm going to go into a
[221]
a jimbo territory like uh in certain
[223]
areas of virginia i know
[225]
when i was in the army spent a lot of
[226]
time in virginia at fort lee uh i think
[228]
there's like nine high-cost counties
[230]
there some counties in california et
[231]
cetera
[232]
that are uh high cost and i'm going to
[234]
go into those as well
[235]
so all right so it all starts with your
[238]
basic entitlement
[238]
and then there's what's called your
[239]
secondary entitlement or bonus
[241]
entitlement you might hear it called
[243]
and they you kind of back into this
[244]
number if you kind of look at the
[245]
calculations you know it's 510 to 400
[248]
you know divide that by four it's a 25
[251]
guarantee thing again okay and then uh
[253]
this is you know basically
[255]
you know your total entitlement minus
[257]
your basic entitlement which never
[258]
changes
[258]
so this this secondary entitlement
[260]
number can change you know from year to
[262]
year
[263]
so let's say that you you bought a house
[266]
for 275 000
[267]
okay so you charge 68 750 in entitlement
[271]
and again that's that that four number
[272]
again
[273]
you see you divided by four that's the
[275]
entitlement charge
[276]
minus this number 127 600 you know it
[280]
leave
[280]
minus that equals 58 850 remaining
[284]
times four again and you end up with a
[286]
maximum purchase price for a second home
[289]
with no down payment of 235 400. and if
[292]
you kind of look at it it's basically
[294]
that plus that equals county low limit
[296]
that's basically
[297]
a good rule of thumb but uh you know va
[300]
likes to complicate things and do times
[302]
four to minus four twenty five percent
[304]
et cetera
[304]
but uh you you can kind of gonna get an
[306]
idea now enough for your new home
[308]
say you know that tells this this tells
[311]
you basically what the maximum
[313]
uh loan purchase price would be actually
[315]
loan
[316]
so let's say you want to buy a new
[317]
another 275 000 house okay
[319]
so the max price you know is basically
[322]
that
[322]
yeah and so the difference is 39 600
[326]
okay so you have to come up with that no
[328]
because the va
[329]
again it's a great loan you only have
[331]
about 25 percent of the difference
[332]
so basically you have to do a 9900
[336]
down payment and now that this loan just
[339]
so you know
[339]
includes the funding fee now if you're
[341]
not uh
[343]
more than ten percent disabled it's a
[345]
pretty penny uh
[346]
i know for first timers is two point
[348]
three percent for subsequent use is
[350]
three point three percent
[351]
um that's it and it's it's finance but
[353]
it's definitely a hefty fee especially
[355]
you know if you go up in purchase price
[357]
so uh you cannot take that into
[359]
consideration
[360]
as far as what you can do and i left it
[363]
out just just for simplicity
[364]
now you know that's pretty darn good i
[366]
mean basically you know
[367]
compare that to fha conventional you
[369]
know so a 200 275
[372]
000 purchase price you know 300 down is
[374]
96.25
[376]
5 down on a second home or on a
[378]
secondary uh
[379]
you know for conventional that's the
[380]
minimum is five percent down that's
[382]
thirteen thousand now
[383]
both of these options are going to have
[384]
mortgage insurance va has no mortgage
[386]
insurance so
[387]
that's why va's and it's an outstanding
[389]
loan so uh
[390]
let's let's go to you know to another
[392]
example here's like the uh
[394]
you can do it a google search ever fhfa
[396]
kind of loan limits
[397]
but this is for virginia and here's some
[399]
you know high cost counties so 765 600
[402]
okay so that's one of the highest ones i
[403]
see so let's do
[404]
you know 765 600
[409]
you can see it kind of automatically
[410]
changes all this stuff you know and
[412]
basically that 275 you can buy that new
[415]
with no down payment
[416]
so you can buy another 490 000 house
[419]
you know with no down payments let's
[421]
just say you did a a 400 000
[423]
house before you know you can buy
[426]
another 365 house
[428]
and you want to buy another you know 400
[431]
000
[431]
house and and i mean this is kind of how
[434]
i come up with
[434]
those numbers to make sure that you know
[436]
we're telling you the good information
[438]
you know but uh you know check the
[439]
kendall moment in your state and just
[441]
just uh rude rule of thumb is basically
[444]
these two purchase prices gotta you know
[446]
they add up to your county loan limit
[448]
but it's definitely you know you can get
[450]
two vlons at the same time
[451]
uh you buy your another primary build
[453]
another another property what not with a
[454]
va it's definitely awesome
[457]
okay welcome back hope that was an
[458]
informative look at how you can get two
[460]
va loans at the same time
[461]
and you know i definitely i've used it
[463]
myself i've counseled
[464]
several veterans uh to do do the same so
[467]
it's definitely a great use of your va
[468]
benefit if you're a veteran
[470]
service country and again thank you for
[471]
your service to all those veterans out
[472]
there
[473]
um again if you want your own
[474]
personalized consultation definitely
[476]
give me a call go dmc mortgage.com
[478]
if you want your own uh personalized
[480]
analysis about how to buy
[481]
another property with a va loan i want
[484]
to thank you so much for watching and
[485]
i'll see you guys on the next one
Most Recent Videos:
You can go back to the homepage right here: Homepage