Veterans Housing Assistance Program (Texas)

The Texas Veterans Land Board offers active duty service members, veterans (and certain qualifying spouses of deceased veterans) low-interest mortgage loans through its Veterans Housing Assistance Program (VHAP). 

This program is designed to make homeownership attainable and financially feasible for service members looking to purchase in Texas. These fixed-rate loans are available anywhere in the state and can be accessed with little or no down payment. 

The standard interest rate is competitive, and veterans with a VA service-connected disability rating of 30% or greater qualify for a discounted interest rate through the program.

Eligibility requirements

To qualify for the Veterans Housing Assistance Program, you must meet the following four eligibility requirements. 

1. The property must be in Texas, and you must be a resident of Texas at the time of the application
2. The loan must be used to purchase a single family attached or detached home, townhome or condominium as a primary residence.
3. Your loan amount cannot exceed $726,200.*
4. You must meet one of the following service criteria: 

• Active-duty service member
• Member of the Texas National Guard
• Reserve component Military Member with 20 qualifying years completed for retirement
• Veteran, not dishonorably discharged, who served at least 90 days 
• Surviving spouse of a veteran whose death was service-connected or who is listed as missing in action 

*For all DPA programs, income and purchase price limits are regularly reviewed and updated. These amounts were correct at the time of publication but may change with time.

Type of loan

Loans available through the Veterans Housing Assistance Program are fixed rate and can be structured with a 15, 20, 25, or 30-year term. The program’s discounted interest rate (available to veterans with a disability rating of at least 30%) is about half a percent lower than the market rate. This discount saves thousands of dollars over the life of the loan.

Minimum down payment

There is no minimum down payment required to access a VHAP loan, making it a viable option for many buyers who otherwise couldn’t afford to purchase a home. You will still have to pay closing costs, but you may be able to wrap some or all of these costs into your loan.

Maximum loan amount 

The maximum loan amount allowed by this program is $726,200. This includes any fees or closing costs that get included in your mortgage loan. 

Income limits

Unlike many housing assistance programs, the Texas VHAP has no maximum income limit. However, you will need enough income to make the payments on your loan. 

How to qualify for the Veterans Housing Assistance Program

To be eligible for this assistance program, you need to meet the eligibility requirements listed above. You can use our free down payment assistance finder to check if you might qualify. 

How to apply for the Veterans Housing Assistance Program

Your application for a Veterans Housing Assistance Program loan can only be submitted to an approved, participating lender. The Veterans Land Board does not review or process applications. To find a lender who can help you apply for this discounted mortgage loan, use our free down payment assistance finder.