Borrowers who meet certain guidelines may be able to get a second mortgage on a home they purchased with a VA-backed loan. (Stock/Getty Images)

While a second mortgage may not be a preferred financial option, unexpected expenses or other budget crunches may make it a requirement.

1. Lesser loan. The second mortgage “must be subordinated to the VA-guaranteed loan,” per the handbook. In lender parlance, that makes it a “junior lien.” Put simply, you can’t borrow more on the second go-round than you did for in the first loan.

2. Purpose-driven. The loan can be used for closing costs or other purposes related to the first mortgage. It can even be used for a down payment, but only as part of meeting “secondary market requirements of the lender,” not to…


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