Buying a home is a great investment but funding the entire purchase with one’s own savings is not everybody’s cup of tea. Banks and other lenders, therefore, offer loans to interested home buyers at low interest rates. If you are a veteran, you can obtain a Texas Veteran home loan at rates that are even cheaper than most home loans. Let us read further to learn how to obtain a Texas Veteran Home Loan.
What makes Texas Veteran Home Loans Popular
Texas Veteran Home Loans can be obtained through VA approved private lenders such as banks and mortgage companies. Some of the reasons these loans are so popular are as follows.
- Low Interest Rates
- 100% Financing available
- 3.5% Funding Fee can be rolled into the loan amount
- Relaxed Credit Requirements
Are you Eligible for a Veteran Home Loan in Texas?
Texas home loan eligibility requirements are:
- You must be 18 years or more and an active duty member of the military.
- At the time of applying for a loan, you must be a bona fide and legal resident of Texas.
- If you are a veteran and served 90 days of active duty (an exception would be anyone who was discharged earlier due to a service-connected disability.)
- If you have completed 20 qualifying years of retirement as a reserve component military member, you are eligible for the loan.
- Spouses of veterans who were officially reported as missing in action or whose death was connected to the service, also meet the Texas Veteran Home Loan eligibility criteria. They however, shouldn’t have remarried.
- You must have successfully closed any previous VLB loan accounts. In case a loan is still active, it must be in good standing.
Remember – Eligibility to participate in the Texas Veteran Home Loan Program does not guarantee a home loan. All loans are subject to credit approval. Any applicant that is delinquent in paying their child support, student loan, or any other debt owed to the state is prohibited from accessing the home loans until they pay the delinquent amount or make the necessary arrangements.
If you are eligible for a Texas Veteran Home Loan, realizing your dream of owning a house in Texas can be easy. The maximum amount that you may borrow in conjunction with a FHA, VA or conventional home loan is $417,000. The VLB also offers home loan improvement programs where you can borrow a maximum of $25,000.