Veterans Guide to VA Loans in Killeen

Killeen is home to a large veteran population, making it an ideal location for veterans and active-duty service members to purchase a home using their VA loan benefits.

With a variety of local programs, veteran-friendly neighborhoods, and proximity to Fort Hood, Killeen offers unique advantages for veterans looking to settle down.

This guide covers everything you need to know about using a VA loan in Killeen, from eligibility and benefits to local resources and housing options tailored for veterans.

Why Choose Killeen for a VA Loan?

Killeen has long been recognized as a top city for veterans, with a significant veteran population due to its proximity to Fort Hood, one of the largest military installations in the world.

The city provides a range of veteran-focused services and support, making it a great place for veterans looking to use their VA loan benefits to purchase a home.

Local Housing Market Overview

As of 2025, Killeen’s housing market remains one of the most affordable in Texas. The median home price in the area is approximately $230,000, making it an attractive option for first-time homebuyers using VA loans.

The city’s lower cost of living and community-oriented neighborhoods offer veterans and their families a strong foundation for homeownership.

VA Loan Limits and Eligibility in Killeen

VA Loan Limits for 2025

For veterans purchasing a home in Killeen, the VA loan limit is currently set at $806,500 for Bell County. This allows veterans to finance up to this amount without requiring a down payment. Veterans can also borrow more than this limit, but they will need to make a down payment on the amount exceeding $806,500.

Eligibility Requirements

To qualify for a VA loan, veterans must meet certain service requirements, which include:

• Active-duty service members with at least 90 continuous days of service.
• Veterans who served a required minimum number of active-duty days during wartime or peacetime.
• National Guard and Reserve members with at least six years of service or 90 days of active service.
• Surviving spouses of veterans who died in the line of duty or due to a service-related disability.

Benefits of Using a VA Loan in Killeen

• No Down Payment: VA loans eliminate the need for a traditional down payment, making it easier for veterans to afford a home without having to save up a large lump sum.
• No Private Mortgage Insurance (PMI): Save money each month by avoiding PMI, which is required for most conventional loans with less than 20% down.
• Competitive Interest Rates: VA loans typically offer lower interest rates compared to conventional loans.
• Flexible Credit Requirements: Veterans with lower credit scores can still qualify for a VA loan, thanks to more lenient credit standards and the lack of a minimum credit score requirement.
• No Prepayment Penalties: VA loans do not have prepayment penalties, which allows veterans to pay off their loans early without incurring extra fees.

Benefits of VA Loans vs. Conventional Loans

Feature	VA Loans	Conventional Loans
Down Payment	No down payment required	5% – 20%
PMI	Not required	Required if down payment <20%
Interest Rates	Typically lower	Varies based on credit and down payment
Minimum Credit Score	None (Lenders prefer 620+)	620+
Funding Fee	Required (2.3% for first-time use)	None
Prepayment Penalty	None	May have penalties

Top Veteran-Friendly Neighborhoods

Killeen is home to several neighborhoods that are popular among veterans for their affordability, community support, and proximity to military installations. Here are some of the best areas to consider:

1. Harker Heights
   • Description: A growing community with great schools, parks, and family-friendly amenities. Harker Heights offers a suburban feel and is close to Fort Hood.
   • Median Home Price: $245,000
   • Proximity to Fort Hood: 10 miles
2. Copperas Cove
   • Description: Known as the “City Built for Family Living,” Copperas Cove is a small town adjacent to Killeen, offering affordable homes and a close-knit community atmosphere.
   • Median Home Price: $200,000
   • Proximity to Fort Hood: 8 miles
3. Nolanville
   • Description: A small, peaceful community ideal for veterans looking for a quieter living environment. Nolanville has affordable homes and convenient access to nearby Killeen and Fort Hood.
   • Median Home Price: $220,000
   • Proximity to Fort Hood: 12 miles
4. Killeen Proper
   • Description: Killeen’s central location offers easy access to shopping, dining, and entertainment options. The city’s affordability makes it a popular choice for first-time homebuyers using VA loans.
   • Median Home Price: $230,000

Local Killeen Programs and Resources for Veterans

Killeen offers a variety of local resources and support programs specifically designed for veterans. These programs provide assistance in areas such as home buying, healthcare, employment, and more:

1. Central Texas Veterans Health Care System
   • Offers comprehensive healthcare services, including primary care, mental health support, and specialty services for veterans in the Killeen area.
   • Address: 1901 Veterans Memorial Dr, Temple, TX 76504
   • Phone: (254) 778-4811
2. Bell County Veterans Service Office
   • Assists veterans with filing VA benefits claims, accessing healthcare, and navigating employment opportunities.
   • Address: 550 E 2nd Ave, Belton, TX 76513
   • Phone: (254) 933-5915
3. City of Killeen Veterans Affairs Office
   • Advocates for veteran-friendly policies and works to increase employment opportunities for veterans within the city.
   • Address: 101 N College St, Killeen, TX 76541
   • Phone: (254) 501-7840

How to Apply for a VA Loan in Killeen

Applying for a VA loan in Killeen follows the same steps as in other regions, but it’s essential to work with a local lender who understands the Killeen housing market and can offer guidance tailored to veterans. Here’s how to get started:

1. Obtain a Certificate of Eligibility (COE): You can get your COE through the VA’s eBenefits portal or by working with your lender.
2. Get Pre-Approved by a Local VA Loan Specialist: Pre-approval shows sellers that you are a serious buyer and helps you determine your budget.
3. Find a VA-Savvy Real Estate Agent: Choose an agent experienced in working with veterans to help you find homes that meet VA standards.
4. Submit Your Application and Close the Loan: Once you’ve found the right home, your lender will guide you through the closing process.

FAQ About VA Loans

What is the VA loan limit in Killeen, TX?
The 2025 VA loan limit in Killeen, TX (Bell County) is $806,500. Griffin Funding

Can I buy a home in Killeen with zero down using a VA loan?
Yes, eligible veterans can purchase a home in Killeen with no down payment using a VA loan, provided the loan amount does not exceed their entitlement.

Do I need private mortgage insurance (PMI) with a VA loan in Killeen?
No, VA loans do not require private mortgage insurance (PMI), reducing monthly payments for Killeen homebuyers.

What credit score is needed for a VA loan in Killeen?
While the VA does not set a minimum credit score, most lenders in Killeen prefer a score of 620 or higher.

Can I use a VA loan to buy a duplex in Killeen?
Yes, VA loans can finance multi-unit properties up to four units in Killeen, provided you occupy one unit as your primary residence.

Are property taxes included in my VA loan payment in Killeen?
Yes, property taxes and homeowners insurance are typically included in your monthly VA loan payment through an escrow account.

What types of properties can I buy with a VA loan in Killeen?
VA loans in Killeen can be used to purchase single-family homes, condos, and multi-unit properties that meet VA appraisal and occupancy requirements.

Do I pay the VA funding fee in Killeen, TX?
Yes, unless exempt due to a service-connected disability, borrowers in Killeen must pay a VA funding fee, which can be financed into the loan.

Can I refinance my home in Killeen with a VA loan?
Yes, VA offers refinancing options in Killeen, including the Interest Rate Reduction Refinance Loan (IRRRL) and cash-out refinance, depending on your needs.

How do I apply for a VA loan in Killeen, TX?
Begin by obtaining your Certificate of Eligibility (COE), then contact a VA-approved lender in Killeen to start the application process.

Local Killeen VA Resources and Contacts

Killeen has several local VA facilities and veteran support services that cater to the needs of the local veteran community:

1. Central Texas Veterans Health Care System
   • The Central Texas Veterans Health Care System offers a range of healthcare services for veterans in the Killeen area, including primary care, mental health support, and specialty services.
   • Address: 1901 Veterans Memorial Dr, Temple, TX 76504
   • Phone: (254) 778-4811
2. Killeen Vet Center
   • The Killeen Vet Center provides counseling services, employment assistance, and VA benefits support for veterans and their families. It’s a valuable resource for veterans transitioning to civilian life or seeking additional support.
   • Address: 302 Millers Crossing, Suite 6, Harker Heights, TX 76548
   • Phone: (254) 953-7100
3. Bell County Veterans Service Office
   • The Bell County Veterans Service Office assists veterans with accessing their VA benefits, including home loans, healthcare, and employment services.
   • Address: 550 E 2nd Ave, Belton, TX 76513
   • Phone: (254) 933-5915

The resources and support provided by these local organizations make Killeen an ideal location for veterans to use their VA loan benefits and purchase a home.