VA Home Loan: Can I get a second mortgage when first is underwater?

You would have to qualify for VA which you won't with 65% dti (debt to income ratio). You cannot use rental income until you show 2 years of it on tax returns (thats for all types of mortgages). VA wouldn't necessarily care if you have negative equity if you qualified though. FHA won't allow you to have two FHA mortgage period, unless you have a cirstance such as having to move to another state for your job, or another example is if you have a one bedroom home & you have a baby & need a larger home. However, again, your DTI is too high. Sorry to give bad news!