Texas Vet-VA Loans – The Basics to Get You Started in the Right Direction

Texas Vet VA loans are a very specific animal altogether. Texas Vet is the rate set by the Land Board in Austin Texas and it is reset once a week on Friday at 6:00 p.m. CST. It is the only rate in the entire country that is established in this fashion and remains the same for one week. Texas Vet is not the underlying underwriting instrument, it is just the rate. Any member of our armed forces, national guard and coast guard can use this loan (based on qualifying) and use the methods of financing via FHA, Conventional or VA.

100% financing is available using your VA benefits. If you are PCS’ing here all you have to have is your orders and be here one day to be considered a “bona fide” Texas Vet. If you have listed on your DD-214 that any city in Texas was your “home of record,” then you are automatically considered a Texas Vet. If your ETS or discharge was any city other than Texas and you have moved to any city in Texas, then you must have lived in Texas for one-year to get that consideration.

A person that was considered disabled 10% or more, that vet will never pay the VA funding fee for a home loan. If a Vet is considered disabled by 30% or more by the VA, he / she is entitled to an additional 50 basis point discount to the current rate established that week by the Texas Vet Land Board in Austin, TX. For example: If the current rate is 5%, then with any disability that is 30% or greater that Vets rate would be 4.5%. Not too shabby, eh?

Financing on a Texas Vet loan will allow you to purchase a house up the $325,000.00. Of course the VA loan amounts are now unlimited, but Jumbo loans are still considered anything that is over a $417,000.00 purchase price. For example…if one were to purchase a house using Texas Vet as their loan program and the purchase price was $359,000.00, the borrower would need to come to the table with the difference which would be $34,000.00 in this example.

The COE: This is the “Certificate of Eligibility” and is the form you need to have filled out to receive your entitlement from the VA. If you have ever owned a home using your VA benefits or still own that home but wish to purchase another house you may use your VA benefits again. We just have to find out what your entitlement has left on your COE and then do the math to discover how much house you can purchase with nothing down.

The NOE: This is your “Notice of Eligibility” and is the form that goes to the Texas Vet Land Board in Austin, TX. The third page of this form must be notarized and I must have either your DD-214 or your current Statement of Service (S.O.S.) to turn in showing them that you are a current resident of Texas.

For any personnel that is Active Military, we have a “needs list” that entails providing us with certain documents that we need to process your loan. We’ll need 2 months of your most recent LES pay, 2 months of your most recent bank statements and 2 years of your last W-2 statements.

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