Houston VA Home Loans
Thank You For Your Service
Houston's Top VA Loan Lender
You Served Us, Let Us Serve You
One of the main advantages of a Houston VA loan is that it allows for up to 100% financing on loan values up to $726,200, which means that you don't need to make a down payment. This can be a significant benefit, especially for first-time homebuyers who may not have a lot of savings.
At our company, we have a team of expert VA loan specialists who are available to assist you every step of the way. From the application process to closing, we will help you navigate the VA loan process and ensure that you maximize the government assistance with your VA home loan.
As an approved Houston VA lender, we offer both the regular VA Guaranteed Loan program and the Texas Vet Loan program for veterans with disabilities. Whether you're looking to purchase a home or refinance an existing loan, our VA team is here to help.
As a direct VA lender in Houston, TX, we offer low rates, in-house underwriting, and fast closing times. In fact, we can typically close loans in 28 days or less, which means that you can move into your new home sooner.
Benefits of a VA Loan in Houston
If you're an eligible applicant and considering buying a home in Houston, a VA loan may be an excellent mortgage option for you. VA loans are designed to help veterans, active-duty military members, and eligible surviving spouses to buy a home with favorable terms.
One of the most significant advantages of a Houston VA loan is the low interest rates. Because VA loans are guaranteed by the Department of Veterans Affairs, lenders are able to offer competitive rates. This means that you'll be able to save money on your monthly mortgage payments.
Another benefit of a Houston VA loan is that it offers up to 100% financing for loan values up to $726,200, which means that you won't have to make a down payment. If you're purchasing a home above this limit, you'll still be able to put a small down payment and get a favorable interest rate. Additionally, jumbo VA loans are available over $726,200 but a buyer will need to put money down.
If you're a veteran with a disability, you may also be eligible for the Texas Vet Program, which offers additional benefits and lower interest rates.
One of the unique features of a Houston VA loan is that it has easier qualifying requirements than conventional loans. For example, VA loans don't require a minimum credit score and allow for alternate credit, such as utility bills and rent payments, to be used to qualify. Additionally, VA loans allow for up to 4% in seller concessions, which means that the seller can pay some of your closing costs.
Another advantage of a Houston VA loan is that there are no prepayment penalties. This means that you can pay off your mortgage early without incurring any fees. Additionally, the funding fee can be financed, which means that you won't have to pay it upfront.
Finally, a Houston VA loan allows for manufactured housing, although there are some restrictions. The home must be built after June 15, 1976, and be permanently attached to a foundation. Additionally, the home must meet HUD's minimum property standards, which are designed to ensure that the home is safe, sound, and secure.
Overall, a Houston, TX VA loan can be an excellent mortgage option for eligible applicants. With low rates, 100% financing, small down payment options above $726,200, and easier qualifying requirements, a VA loan can make it easier to achieve your dream of homeownership. Additionally, the Texas Vet Program is available for eligible veterans with disabilities. Whether you're looking to purchase a new home or refinance an existing loan, a Houston, Texas VA loan may be the perfect solution for you.
What Are the Requirements for a VA Loan
If you're interested in getting a Houston VA loan, it's important to understand the requirements. To be eligible for a VA loan in Houston, TX, you must be an active-duty service member, a veteran, or a qualified spouse of a deceased US service member.
To apply for a VA loan, you'll need to provide several types of documents regarding both your military service and personal finances. These documents include but are not limited to:
- VA Certificate of Eligibility (COE)
- Last 2 years W2 statements
- One month salary verifications (or pay stubs)
- Two (2) months of most recent bank statements
- Copy of DD214 (if you're a veteran who has been discharged/separated from the military)
Conforming Home Mortgage
Our Conforming Home Mortgage option is designed to fit the needs of those looking for a mortgage that conforms to the guidelines set by Fannie Mae and Freddie Mac.
Jumbo Home Mortgage
A jumbo loan is a mortgage for high-value properties that exceed the conforming loan limits set by government-sponsored enterprises, with stricter qualification requirements and higher interest rates due to the larger loan amount.
It's important to note that VA loans can only be used for primary residences and cannot be used for investment properties. Your VA lender will set the mortgage rate and discount points, not the VA, so rates and terms may vary from lender to lender.
If you have any questions about the VA loan process or requirements, our team of VA loan specialists is here to help. We can guide you through the application process and help you gather the necessary documents to apply for a Houston, Texas VA loan.
Non-QM Mortgage
This type of loan may be suitable for those who can demonstrate their creditworthiness through bank statements or Debt Service Coverage Ratio (DSCR).
VA Loan Recap
To be eligible for a Houston VA loan, you must be an active-duty service member, a veteran, or a qualified spouse of a deceased US service member.
You'll need to provide several types of documents regarding both your military service and personal finances to apply for a VA loan in Houston, TX, including a VA Certificate of Eligibility (COE), last 2 years W2 statements, one-month salary verifications (or pay stubs), two (2) months of most recent bank statements, and a copy of DD214 (if you're a veteran who has been discharged/separated from the military).
VA loans can only be used for primary residences and cannot be used for investment properties.
Your VA lender will set the mortgage rate and discount points, not the VA, so rates and terms may vary from lender to lender.
If you have any questions about the VA loan process or requirements, our team of VA loan specialists is here to help.
FAQ's About VA Loans in Houston, TX
Can you use a VA loan to build a house?
Yes, you can use a VA loan to build a house through the VA construction loan program, which allows eligible veterans, active-duty service members, and qualifying spouses to finance the purchase of land and the construction of a new home with zero down payment, making it one of the most powerful homebuilding benefits available to those who've served. The VA construction loan comes in two primary forms: the VA construction-to-permanent loan (also called a one-time close loan) where you get a single loan that converts from construction financing to a permanent mortgage once the home is complete, and the two-time close option where you secure a construction loan first and then refinance into a permanent VA mortgage after building.
What's the difference between a VA loan and a conventional loan?
The primary difference between a VA loan and a conventional loan lies in their eligibility and benefits. VA loans are exclusively for veterans, active-duty service members, and qualifying spouses, offering zero down payment, no PMI, more lenient credit requirements, and government backing. In contrast, conventional loans are available to anyone but typically require 3-20% down, PMI if you put less than 20% down, and stricter credit standards. The biggest advantage of a VA loan vs a conventional loan is financial. With a VA loan, you can buy a home with $0 down and avoid the monthly PMI payment that would cost $100-300+ per month on a conventional loan with less than 20% down, potentially saving you tens of thousands of dollars over the life of the loan.
How many times can you use a VA loan?
You can use a VA loan multiple times throughout your lifetime. There's no limit to how many times you can use your VA loan benefit as long as you have available entitlement, which means you've either paid off and sold a previous VA-financed home (restoring your full entitlement) or you have remaining entitlement to use on another property.
Can you get a VA loan with bad credit?
Yes, you can obtain a VA loan with a bad credit score. At the same time, the VA itself doesn't set a minimum credit score requirement, most VA lenders (including Flagstone Mortgage) work with veterans who have credit scores in the 580-620 range, and some lenders will approve VA loans with scores as low as 500-550 if you have strong compensating factors like stable income, low debt-to-income ratios, substantial cash reserves, or a solid explanation for past credit problems. Obtaining a VA loan with bad credit is significantly easier than qualifying for conventional or FHA financing, as the VA's guarantee reduces the lender's risk, allowing for more flexible underwriting. The VA loan program was specifically designed to help veterans achieve homeownership, even if they've faced financial challenges such as medical bills, divorce, job loss, or the transition from military to civilian life that may have impacted their credit.
What are the VA loan limits in Houston, TX?
VA loan limits in Texas no longer restrict how much you can borrow if you have full entitlement. As of 2020, the VA eliminated loan limits for veterans with full entitlement, meaning you can buy a home of any price with zero down payment as long as you qualify based on income and the lender approves the loan amount. However, VA loan limits in Texas still matter if you've previously used your VA benefit and have reduced entitlement, in which case the 2024 VA loan limit of $766,550 for most Texas counties (including Houston, Dallas, Austin, San Antonio, and Fort Worth) represents the maximum you can borrow with zero down, any amount above this limit would require a down payment of 25% of the difference between the loan amount and the county limit.