How To Use VA Loan Benefit to Build Wealth

today we're going to be talking about how to use your VA housing benefit to build wealth I know I've always stayed away from that title because I think it's so cheesy and there's so many people that say that in a con man way but I'm not this is literally me sitting back watching what other veterans have done for the last few years and really paying attention so I can share that information with you so first of all if you're unfamiliar with this channel I am licensed in 48 states as mortgage lender I've been the top female VA lender in America for the last two years I am hoping this is the year that I can just say number one overall and everything okay and I'm not saying that to be braggy I'm saying that to go guys I see a lot of VA loans like this isn't some you know rookie trying to BS you and sell you a bill of goods so let's talk about what I see and what I would suggest now first of all a VA home loan let's cover some of the really quick basics 0% down you do you do still have closing costs when you're buying a house however in many cases we can get the seller to help you with closing costs and if you're like my real estate agent says they just call me let's talk about the market you're in like let's put together a game plan because a lot of times real estate agents say you can't do that without understanding what they're saying no to okay we don't do we don't deal with negative Nellies so that's the first thing you guys need to know 0% down let's get the to pay your closing cost okay that's that's usually the goal even if you have money because with this strategy you really want to put as little as you can into these houses because ultimately they're Investments okay now you need to live in the house for at least a year very important so if for instance let's say you're on a base right now and you've got orders to go somewhere in a month and you already know you're going do not buy a house in that location right now let's go to the next place you're going to be at okay now if you buy a house for instance and then you get orders 5 months later and you have to move quick that's different so I just want to be really clear on that now in a perfect world okay if I was dreaming my perfect way to use the VA entitlement I would say purchase number one a multi-unit mhm and look it's a unicorn they're really tough to find but if you guys go online after this video and you type in where you are in the country and you look at multi-units and they're a couple $1,000 you're in a unicorn territory so if you are I would be saying let's get you qualified for that first okay now very important I cannot use rental income unless you have six months of principal interest taxes and insurance in the bank and a property manager okay odds are you will not have that so we're going to need to qualify for this multi-unit with your income now if you're active duty which I'm assuming you are for this video um I can use your bah we gross it up I can use rations we gross it up and then of course we use your base pay and if there's special pay we'll see if we can use that a lot of times we can okay so we're going to use all that pay now the next thing I get is I don't know about my credit hisory doesn't have to be perfect guys it doesn't have to be perfect if it's like 600 620 I don't even blink the only time I'm conc concerned is if you're under 600 and you have lates within the last year that can be a problem okay but that's a problem you can overcome with some planning for the future so perfect world your first purchase will be a multi-unit and that's because then you can start cash flowing that property immediately now as I covered that is a unicorn situation so what's more likely what's more likely is your first purchase will be a single family home now in a perfect world you are in bases where housing is Affordable meaning you know 175 to 350 if you're in an area like that grab a house okay and look you're going to want to look for all the things that make it so other people will want to live there because the goal is you're going to live there while you're at that base and then when you move you PCS you're going to turn that property into a rental you're going to rent that out to military members the reason you're going to rent it out to military members is because they have to pay you if they don't pay you you can actually go to the military to make them pay you for real okay so you're going to turn that house into a rental we go to the next base and we do it again okay in a perfect world you're going to be at a couple bases where housing is Affordable and you'll be able to get two three houses with zero down yeah a lot of people don't know this a lot of people go oh well you can only have one VA loan no no I can only have what the entitlement allows so for instance let's say your first house is in San Diego yeah you can't buy you can't go from San Diego to Hawaii with zero down that's not realistic because the cost of living there is so high it's going to eat up your eligibility okay but VA has bonus eligibility as well but even still like full disclosure you go from San Diego to Hawaii I hope you've got some money for that second house cuz you're going to need it um but there's so many bases across the country where housing's affordable and sometimes people don't buy CU they just don't even know that they can and that's the crazy part to me so make sure if you guys are watching this video tell your friends every single military member should be taking advantage of this and the reason is I see what happens down the line you know I have veterans that I work with where they have three four five VA loans at the same time no joke okay you can do that you just have to have enough eligibility and sometimes what I'll see is like as like maybe the second or third house as they start to tap out that eligibility we're still doing VA but we're doing it with much lower down payments and no mortgage insurance that's right because with VA no matter how we use it there's no mortgage insurance okay very very important as a veteran you should never be looking at conventional or FHA very rarely it would make S FHA never makes sense never no the only time it could make sense is if you need rental income to qualify on a multi-unit maybe okay conventional doesn't make sense versus va va you're going to get a lower rate lower down payment and no mortgage insurance so the key is this the key is every time you move it is an opportunity to utilize your benefit and set yourself up for the future now sometimes someone will say well Jen you know what if I can't rent it for how much I bought it for that's an important question so sometimes you'll be in a situation where you move to a new base you rent this one out but you're losing a couple hundred bucks a month so you're going to want to make sure you can afford that will you lose that amount of money forever no guys rents keep on going up also if you're buying houses under 400k the odds are they will appreciate you know they have so much room to appreciate so in certain parts the country it makes sense to buy a house and then sell it when you leave you know we've seen veterans where they've made $40 $50,000 in a couple years is that the norm no but does it happen yeah it depends on where you are so the key is this a make sure when you guys are thinking about housing you are seeing if you can utilize your benefit always see if you can utilize your benefit seriously okay and be like look with us we fully underwrite you we fully pre-approve you if you're looking at a VA purchase as a long-term plan and you're working with me and my team which of course I'm going to suggest uh make sure you tell me because we're going to be having a different conversation based on that and what you're looking at is different than if you're just looking at a home for your family so we really want to make sure we're on the same page with strategy for the long term because I've seen how this pays off in the long term I've seen people who are retired ing from the military or leaving the military and they've used their time in the military to stack up these houses and they're now either getting income from them or they have a fat bank account because they've sold them along the way and they've accured savings there is a way you know while you're in the military to build a portfolio across the country there are not many jobs where you get that opportunity so I really want to make sure you guys are using it if if you have any questions please get on the calendar Sandy and Alyssa we do this for free you can ask us like and sometimes people are like well I don't want to ask guys all questions are good I literally pay those gals just to answer your questions and they love it like they love it so please get on the calendar if you're ready to get pre-approved let's get you pre-approved let's get on the phone let's get a game plan let's make sure when you leave the military Beyond looking back with pride from service you're look back with a nice real estate portfolio so please reach out with questions and comments have you done this if you have make sure you're telling your friends cuz that's what I'll see I'll see a couple people where they told all their friends and all those people have three to four properties and then I see like other stuff where they just were never in that group so they're finding out about VA after they're out of the military and you're like whoa like there's so much you can do while you're in the military so I will stop now but yeah please please reach out guys I'm here to help you

Channel: Jennifer Beeston

Views: 96,326

Keywords: jennifer beeston, top mortgage originators, Guaranteed rate, mortgage lending, first time home buyer, real estate, VA loan, VA Mortgage, mortgage, home loan, va mortgage, va mortgage loans, va home loan, va home loans, va loan, va loans, va mortgage lender, va home loan process, va loans explained, how va loans work, va loan explained, va loans what you need to know, va loan build wealth, real estate investing, dave ramsey

Id: qW1lx4qC7Ps

Length: 10min 1sec (601 seconds)

Published: Wed Nov 01 2023