The Complete Guide to VA Loans in Texas
VA.gov Home Loans
VA Lender’s Handbook (M26-7)
Texas VLB Home Loans
FHFA Conforming Loan Limits
Texas Veterans can buy a primary home with a federal VA loan or explore Texas Veterans Land Board (VLB) programs. Federal VA loans are lender-made and VA-guaranteed, often allowing 0% down and no monthly mortgage insurance once your Certificate of Eligibility (COE) is confirmed. VLB adds fixed-rate housing, land, and home-improvement options for eligible Texas residents—compare rules, rates, and lender overlays.
VA Home Loans
- VA doesn’t lend money directly—approved private lenders do. The VA guaranty can reduce lender risk, which is why 0% down is often possible.
- Full entitlement: Generally means there’s no VA loan limit, but you still must qualify under lender underwriting (income, DTI, residual income, credit).
- Partial entitlement: Uses your county’s conforming loan limit for entitlement/down-payment math. (County limits can be higher than the baseline.)
Texas Veterans Land Board (VLB) Programs
- Texas-only benefit: Separate from federal VA loans; typically requires Texas residency and primary-residence use for housing loans.
- VLB Housing: Fixed-rate terms (15–30 years) up to program maximums. Some Veterans with qualifying disabilities may be eligible for a rate discount (program rules apply).
- VLB Land + Home Improvement: May be available with program-specific down payment and limits.
Eligibility + COE
- COE required: Confirms VA entitlement and eligibility category.
- Service: 90 wartime days or 181 peacetime days; Guard/Reserve qualify with 6 years or qualifying active duty.
- Primary residence: Purchase loans require owner-occupancy (not for investment properties).
Property Tax Exemptions
- 100% disability rating: Full property tax exemption on the veteran’s primary residence (homestead).
- 10%–99% disability rating: Sliding-scale exemptions that reduce taxable value by $5,000–$12,000, based on the rating.
- Property taxes, homeowners insurance, and HOA fees vary by county and neighborhood—build a full monthly payment estimate before finalizing your offer price.
FAQs
What are common closing costs for VA loans in Texas?
What other homeownership benefits does the Texas VLB offer Veterans?
What are the steps to apply for a Texas VLB loan?
Verify current limits and program rules
Loan limits, rates, and eligibility rules can change. Confirm federal VA rules with VA.gov and the VA Lender’s Handbook, and confirm VLB program limits, rates, and requirements with the Texas Veterans Land Board and your lender.
The VA Loan Network Difference
Our mission is to provide a smarter, more personal lending experience. We don’t use online applications or call centers; every loan starts with a conversation with a true VA loan expert, available day, night, or weekend.
🤝 Your Dedicated Expert
You’ll work one-on-one with a handpicked VA loan specialist from your first call to closing. No call centers, no runaround—just a real person you can call directly.
🏅 True VA Expertise
Each of our loan officers has 10+ years of VA-specific experience. This deep knowledge of manual underwriting allows us to find solutions for all borrowers, from the 780 score to the 580.
⚡ Real-Time Approval
We provide accurate pre-approvals in real-time over the phone. This gives you a powerful advantage to make a strong, confident offer on a home without delay.
🛡️ We’ve Got Your Six
We are Veteran Owned and Operated. We understand this benefit because we’ve used it ourselves. From start to finish, you can be confident that we’ve got your six.
What Are VA Loans?
VA loans are a powerful mortgage option guaranteed by the U.S. Department of Veterans Affairs (VA). Established to help those who served, these loans empower eligible Veterans, active-duty service members, and certain surviving spouses to achieve homeownership with distinct advantages. Private lenders issue these loans, but the VA’s guaranty significantly reduces risk for the lender, allowing for highly favorable terms.
Here’s why VA loans are a cornerstone benefit for military families:
- No Down Payment (Often): A major advantage, allowing many eligible borrowers to purchase a home without any money down, preserving their savings for other needs.
- No Private Mortgage Insurance (PMI): Unlike conventional loans without a 20% down payment, VA loans typically don’t require PMI. This significantly lowers monthly housing costs over the life of the loan.
- Competitive Interest Rates: The VA guaranty allows lenders to offer some of the most favorable interest rates available, translating into long-term financial savings for borrowers.
- Flexible Credit Requirements: While lenders set their own overlays, VA loan guidelines generally offer more flexible credit requirements compared to conventional loan programs, making homeownership more accessible.
- Reusable Benefit: Your VA loan entitlement isn’t a one-time use. Eligible individuals can often use their benefit multiple times throughout their lifetime, provided certain conditions are met.
To qualify, the property must be your primary residence. These unique benefits represent a tangible return for service, and proposed legislation like Texas House Bill 235 could add a sales tax exemption for 100% disabled Veterans. These benefits represent a tangible investment in those who served, making the dream of homeownership a more achievable reality for those who’ve sacrificed for our nation.
2026 VA Loan Requirements
VA loan requirements are structured to help eligible Veterans and service members achieve affordable homeownership while ensuring the security of both the borrower and the lender.
Service Requirements
To be eligible for a VA loan, you must meet certain service-related criteria:
Veterans:
- Served at least 90 consecutive days of active duty during wartime.
- Completed at least 181 days of active duty during peacetime.
- Must have received an honorable discharge or one under honorable conditions.
Active-Duty Service Members:
- Currently serving with at least 90 continuous days of active duty.
National Guard and Reserves:
- Completed six years of service or served at least 90 days of active duty under Title 10 or Title 32 orders.
Surviving Spouses:
- Unmarried spouses of service members who died in the line of duty or due to a service-related disability.
- Certain remarried spouses may qualify if remarriage occurred after age 57.
Credit and Income
- To qualify for a VA loan, you must meet the lender’s credit and income standards.
- The VA generally prefers a debt-to-income (DTI) ratio of 41% or less.
- Exceptions may apply if your residual income exceeds VA requirements by 20% or if you have tax-free income.
Property Requirements
- The home must be your primary residence and should be a standard single-family property.
- Unique properties may not meet VA appraisal standards, as the VA prioritizes safe, secure housing.
Inspection and Appraisal
- A home inspection is recommended to check for major defects.
- A VA-certified appraiser will evaluate the home to ensure it complies with the VA’s Minimum Property Requirements (MPRs) for safety and structural integrity.
Closing Cost Limits
VA loans come with protections to limit the financial burden of closing costs. Lenders are restricted on how much they can charge Veterans for loan origination and processing.
Sellers in a VA loan transaction can cover all the buyer’s loan-related closing costs and provide up to 4% of the loan amount in concessions. Furthermore, certain fees and costs are prohibited from being charged to VA borrowers, further reducing out-of-pocket expenses.
No Private Mortgage Insurance
Conventional loans typically require private mortgage insurance (PMI) for borrowers who put down less than 20%, adding an ongoing monthly cost. FHA loans also come with upfront and monthly mortgage insurance premiums.
VA loans eliminate the need for PMI altogether, even with zero down payment. This not only saves Veterans money but also maximizes their purchasing power, enabling them to afford more home for their budget.
Lifetime Benefit
One of the most significant advantages of VA loans is that they are a lifetime benefit. Eligible Veterans, active-duty service members, and surviving spouses can use their VA loan benefits multiple times throughout their lives, provided they meet the eligibility criteria and have sufficient entitlement remaining.
Whether you’re buying your first home, upgrading to a larger property, or purchasing a vacation home, the VA loan program remains accessible. Even if you’ve defaulted on a previous VA loan, you may still regain eligibility after repaying the loan or restoring your entitlement.
Texas Veteran Programs by City
Houston Housing Authority – Veterans Affairs Supportive Housing (VASH) Program, Houston
The Houston Housing Authority, in collaboration with the VA, offers the VASH program to help Veterans find and maintain permanent housing.
- Provides rental assistance vouchers with case management.
- Offers support services including mental health counseling. Learn more about Houston VASH Program
Combined Arms – Veterans Housing Services, Houston
Combined Arms connects Veterans with affordable housing options and other resources.
- Provides assistance with housing applications and financial counseling.
- Offers a centralized platform to access Veteran-specific services. Explore Combined Arms Housing Services
Housing Corporation of Greater Houston – Veterans Homebuyer Assistance
This program helps Veterans access affordable homeownership options.
- Offers down payment assistance for first-time homebuyers.
- Provides financial education workshops to help Veterans manage homeownership costs. Learn more about the Housing Corporation of Greater Houston
San Antonio Housing Authority (SAHA) – Veterans Housing Program, San Antonio
SAHA supports Veterans with affordable housing options through rental assistance and homebuyer programs.
- Focuses on providing housing vouchers for homeless Veterans.
- Works with local partners to offer transitional housing services. Learn more about SAHA Veterans Programs
American GI Forum National Veterans Outreach Program, San Antonio
Offers comprehensive housing assistance and supportive services to Veterans in need.
- Provides temporary and permanent housing solutions.
- Assists with job placement and access to community services. Discover American GI Forum Services
Alamo Area Council of Governments (AACOG) – Veterans Housing Program
AACOG helps Veterans in the San Antonio region find affordable rental options and homebuyer support.
- Offers guidance through the home-buying process with counseling services.
- Connects Veterans with local resources for housing stability. Explore AACOG’s Veteran Services
Dallas Housing Authority – Veterans Rental Assistance Program, Dallas
The Dallas Housing Authority offers rental assistance to Veterans through its VASH program.
- Focuses on helping homeless Veterans find long-term housing solutions.
- Provides case management to support housing stability. Learn more about Dallas Veterans Housing Assistance
Metrocare Services – Veterans Housing Assistance, Dallas
Provides a range of support services to Veterans, including housing and mental health care.
- Offers transitional housing options.
- Helps Veterans with mental health care and employment services to ensure housing stability. Discover Metrocare Services for Veterans
Operation Tiny House – Veterans Housing Program, Dallas
This program offers unique housing solutions for Veterans by building affordable tiny homes.
- Focuses on providing sustainable, low-cost housing options.
- Includes community-based living with access to support services. Learn more about Operation Tiny House
Housing Authority of the City of Austin (HACA) – Veterans Housing Assistance, Austin
HACA provides rental assistance and support to Veterans through various housing programs.
- Offers the VASH program in collaboration with the VA.
- Helps Veterans secure stable housing with ongoing support services. Learn more about HACA’s Veterans Programs
Caritas of Austin – Permanent Supportive Housing for Veterans
Caritas provides housing and case management services to Veterans in need of long-term housing solutions.
- Offers permanent housing support with intensive case management.
- Helps Veterans connect with employment and healthcare resources. Explore Caritas of Austin
Texas Veterans Land Board (VLB) – Land & Home Loan Program, Austin
Offers home and land loans specifically designed for Texas Veterans.
- Provides low-interest loans for purchasing homes or land.
- Offers support throughout the application and approval process. Learn more about VLB Home Loan Program
El Paso Housing Authority – Veterans Affairs Supportive Housing (VASH), El Paso
The El Paso Housing Authority partners with the VA to offer the VASH program.
- Provides rental vouchers and case management for homeless Veterans.
- Focuses on finding stable housing solutions for Veterans. Learn more about El Paso Housing Authority VASH Program
Rebuilding Together El Paso – Veterans Home Repair Program
Offers free home repair services to low-income Veterans to ensure safe and healthy living conditions.
- Provides essential home repairs and modifications for Veterans.
- Focuses on improving accessibility and safety in Veteran homes. Explore Rebuilding Together El Paso
Paso del Norte Veterans Program – Supportive Housing, El Paso
Provides assistance to Veterans in finding housing and accessing other supportive services.
- Offers housing navigation for Veterans transitioning to permanent housing.
- Connects Veterans with community resources for stability and self-sufficiency. Learn more about Paso del Norte Veterans Program
VA Loan Eligibility Criteria
To qualify for a VA loan, applicants must meet the service and eligibility criteria set by the Department of Veterans Affairs.
- Veterans: Those who have met the required active-duty service and were discharged under conditions other than dishonorable.
- Active-duty service members: Current active-duty personnel are eligible to apply. National Guard and Reserve members: Must have completed six years of service or served a minimum of 90 days of active duty during wartime.
- Surviving spouses: Spouses of service members who died in the line of duty or from a service-related injury may qualify for VA loan benefits.
Here are the basic service time requirements:
- 90 consecutive days of active duty during wartime
- 181 consecutive days of active duty during peacetime
- 6 years of service in the National Guard or Reserves, or 90 days of active-duty service under Title 32 orders (with at least 30 consecutive days served)
Calculator
This tool screens for basic VA loan eligibility based on three factors:
- Service history & length — Veterans typically need 90 days wartime or 181 days peacetime. National Guard/Reserve members need 6 years of service or 90 days active duty during wartime.
- Credit score — The VA has no minimum, but most lenders require at least 580. Scores of 640+ open more options.
- VA entitlement — You need available entitlement (up to $832,750 in 2026) to use the benefit.
A positive result here means you likely pass this basic screen — not that you are approved for a loan. Final eligibility depends on your Certificate of Eligibility and lender underwriting.
How to Obtain a Certificate of Eligibility (COE)
Securing a VA Certificate of Eligibility (COE) is a critical step in obtaining a VA loan. This document verifies that you meet the service requirements set by the Department of Veterans Affairs.
How to Apply:
- Online: The VA’s eBenefits portal offers the fastest application method.
- Through a Lender: Many VA-approved lenders can access your COE electronically.
- By Mail: Submit VA Form 26-1880 to the VA, though this method may take longer.
Required Documents:
- Veterans: DD Form 214 detailing your service history and discharge status.
- Active-Duty Service Members: A statement of service from your commanding officer.
- National Guard/Reserve Members: Point statements and proof of service if not activated.
- Surviving Spouses: Marriage license and the Veteran’s death certificate may be required.
Texas Housing Market Overview
Texas has remained a relatively affordable state compared to other large states like California and New York. However, home prices have seen steady growth, particularly in major cities such as Austin, Dallas, Houston, and San Antonio. According to the Texas Real Estate Research Center, the median home price in Texas is currently around $350,000.
City-wise housing data
This snapshot uses estimated home values for quick market comparison. Your real payment will change based on county taxes, homeowners insurance, and HOA dues. Use the table to set a range, then underwrite the exact address before making offers.
| City | Typical Home Value (2026 est.) | Estimated Monthly VA Mortgage Payment* |
|---|---|---|
| Austin | $500,000 | $3,163 |
| Dallas | $400,000 | $2,530 |
| Houston | $350,000 | $2,214 |
| San Antonio | $329,000 | $2,081 |
| El Paso | $245,000 | $1,549 |
*Payment estimate assumes a 30 year fixed VA loan at 6.50% with zero down, principal and interest only. Taxes, insurance, HOA dues, and funding fee status can change totals.
VA Loan Limits and Entitlement in 2026
The 2026 baseline conforming loan limit is $832,750 and it mainly matters for partial entitlement cases where guaranty calculations can create a down payment requirement above the county cap. With full entitlement, borrowers are generally not capped by county limits and are approved based on income, debts, residual income, and total monthly payment. FHFA 2026 conforming loan limit announcement
Texas Housing Programs for Veterans
Texas provides several state-specific housing programs, including the Texas Vet Loan, to support Veterans in their homeownership journey. These programs offer low-interest loans, down payment assistance, and tax credits.
Texas State Affordable Housing Corporation (TSAHC)
Offers fixed-rate mortgage loans and down payment assistance for low to moderate-income families, including Veterans. The Mortgage Credit Certificate (MCC) program provides tax credits on mortgage interest. TSAHC programs
VLB Veterans Housing Assistance Program (VHAP)
Provides low-interest loans exclusively for Texas Veterans to purchase homes with competitive interest rates and flexible terms. VHAP details
VLB Veterans Land Loan Program
Offers Veterans the ability to borrow up to $150,000 to purchase land with low-interest rates and minimal down payment. Exclusively for Texas Veterans. VLB Land Loans
Homes for Texas Heroes (TSAHC)
Offers special mortgage rates and down payment assistance available to Veterans, teachers, police officers, and other essential workers. Can be combined with TSAHC’s Mortgage Credit Certificate (MCC) for tax benefits. Homes for Texas Heroes
2026 Texas Property Tax Exemptions for Veterans
Texas offers substantial property tax exemptions for disabled Veterans. The amount of the exemption varies depending on the degree of the Veteran’s disability:
| Disability Rating | Property Tax Exemption Amount |
|---|---|
| 100% Disability | Full exemption from property taxes |
| 70%-100% Disability | $12,000 exemption |
| 50%-69% Disability | $10,000 exemption |
| 30%-49% Disability | $7,500 exemption |
| 10%-29% Disability | $5,000 exemption |
These property tax exemptions can significantly reduce the cost of homeownership for Veterans in Texas.
How to Apply for a VA Loan in Texas
Applying for a VA loan is mostly the same nationwide, but local execution matters. In Texas, taxes, insurance, and HOA rules can swing the monthly payment, so you want a lender who underwrites with realistic escrows and closes VA loans regularly.
- Confirm eligibility and pull your COE: Your lender can often retrieve your Certificate of Eligibility quickly, or you can request it through VA systems. The COE confirms you meet service requirements and shows whether you have full or partial entitlement.
- Get a full pre-approval, not just a pre-qual: A real pre-approval verifies income, assets, debts, and credit so you shop with a true payment range. Ask the lender to include estimated county taxes and homeowners insurance.
- Pick an agent who knows VA appraisal and seller objections: A VA-experienced agent can structure the offer, inspection timeline, and repair strategy so the transaction stays financeable.
- Go under contract, then appraisal, underwriting, and closing: After you are under contract, the lender orders the VA appraisal, clears underwriting conditions, and coordinates title and closing.
