Are you Active Duty or a Veteran? Have you heard of the Texas Veterans Land Board?
Since the days of the Republic, Texas has always supported her veterans in return for their military service. In the early days, it was in the form of land given by the state for military service in the Texas Revolution. In 1946, this tradition was formally recognized with the creation of the Texas Veterans Land Board (VLB) to administer benefits exclusively for Texas veterans.
Since then, more than 200,000 Texas Veterans Land Board loans have been funded for Texas veterans.
The program is easy to use. It offers Texas Veterans and Military Members exclusive financing towards the purchase of their own piece of Texas, both land and homes.
Benefits of the Texas Veterans Land Board
The VLB Veterans Land Loan Program is the only one of its kind in the nation. It provides Texas Veterans and Military Members the opportunity to borrow up to $150,000 to purchase land at competitive interest rates. In addition, it typically requires a minimum of five percent down payment for tracts of one acre or more.
In addition, eligible Texas Veterans and Military Members have an opportunity to purchase a home with a competitive, low-interest loan with little or no down payment. Veterans, Military Members and their spouses may receive up to $484,350 on a fixed-rate loan for 15, 20, 25 or 30 year terms*. Veterans with a VA service-connected disability rating of 30% or greater qualify for a discounted interest rate.
To be eligible for VLB programs, Veterans, Military Members and their spouses must be:
- At least 18 years of age.
- A bona fide and legal resident of Texas on the date of application and meet one of the following service criteria:
- An active duty Military Member.
- A member of the Texas National Guard.
- A reserve component Military Member having completed 20 qualifying years for retirement.
- A Veteran having served at least 90 active duty days unless discharged sooner due to a service-connected disability and not discharged dishonorably.
- A surviving spouse of a Veteran listed as missing in action or whose death was service connected.
LAND LOAN REQUIREMENTS
To be eligible for VLB financing, the land must:
- Be wholly within the state of Texas.
- Contain at least one acre, excluding any portion beneath a dedicated public roadway or navigable waterway or subject to frequent inundation or otherwise unusable.
- Have legal, usable access to a public road. Access must be a minimum of 60 feet wide or meet the county public road width requirements, whichever is greater. “Usable” means that it can be driven on by a standard passenger car in inclement weather.
- Be properly described by either a field note description of the tract with the surveyor’s official seal and signature (original or copy) or a complete copy of the recorded subdivision plat if the description is by lot & block.
- Not be zoned strictly for commercial use.
- Not have been owned by you or your spouse within the previous three years.
- All trash/debris, tires or dilapidated structures must be removed prior to closing.
To qualify, homes must meet the following requirements:
- The home must be the Veteran or Military Member’s primary residence in Texas.
- The home must be a single family attached or detached home, townhome or condominium.
- Duplexes or other multi-family units must have been constructed at least five years prior to the closing date of the loan.
- New homes must have either ENERGY STAR certification or HERS Index score of 75 or less.
- The home must remain the Veteran or Military Member’s primary residence for at least three years, and the Veteran or Military Member borrower must occupy the home within 60 days after loan closing.
Using a Texas Veterans Land Board Loan
The VLB does not offer to refinance. If you have an existing loan on your home, the VLB cannot provide refinancing to lower your interest rate, nor can the VLB Veterans Housing Assistance Program be used for a down payment on a home.
The VLB Veterans Housing Assistance Program provides Veterans and Military Members with loans, where VLB is in first lien position of the primary residence. It’s possible for a Veteran or Military Member to have one active loan in each program — land, home, and home improvement — at the same time.
Once a Veteran, or his or her successor, has successfully paid off a VLB home loan s/he may obtain another VLB home loan. The same applies to the VLB Land Loan Program. All VLB programs are self-funded, using no public taxpayer funding. VLB programs are financed with bonds, which are serviced by loan payments from Veteran and Military Member participants.
We are preferred agents of the Texas Veterans Land Board. Contact us to help you buy a home or land using the VLB program.