An eligible veteran, service member, or surviving spouse can often buy with no down payment. Here is what happens, start to finish.
A VA loan is a mortgage from a private lender that the U.S. Department of Veterans Affairs partly guarantees. That guarantee is why many borrowers can buy with no down payment and no monthly mortgage insurance. The lender still checks your credit, income, and debts. Rates, fees, and rules change, so use this as a map and confirm the details with a VA-experienced lender.
The COE shows that you qualify and how much entitlement you have. You can request it on VA.gov, and most lenders can pull it for you in minutes. Do this first.
Any VA-approved lender can make the loan, and they do not all work alike. Ask how many VA loans they close each year and how they handle the appraisal timeline. Your pre-approval letter goes with every offer. Ask the lender to explain the VA funding fee too. It is a one-time fee that you can roll into the loan. Some veterans, such as those who receive VA disability compensation, are exempt.
A good agent screens homes for things a VA appraiser will flag: a worn roof, peeling paint, water problems, and well or septic questions. In the Hill Country, that last one comes up often. Texas also asks buyers to sign a written agreement with their agent before touring, and we will explain that up front.
VA purchase contracts carry a required clause, the VA Amendatory Clause. In plain words: if the VA appraisal comes in below the price, you are not forced to close, and you do not lose your earnest money, unless you and the seller agree on a fix. Your offer should also leave time for the VA appraisal and any repairs. Your lender and our broker handle the contract paperwork.
Your lender orders the appraisal from VA's panel of appraisers. You do not pick the appraiser. The appraiser checks two things: value and Minimum Property Requirements (the home must be safe, sound, and sanitary, with working utilities, a sound roof, and no active leaks). This is not a home inspection. If value looks short, ask your agent about sending extra comparable sales for a second look.
VA does not require a general home inspection, but get one. Texas VA purchases often include a termite (wood-destroying insect) report, and rural homes need a close look at the well and the septic system. Do these during your option period. Required repairs have to be finished before closing.
The lender verifies your income, credit, and assets, and the title company clears the title. VA limits some fees a veteran may pay, and it caps seller concessions. Ask your lender for a line-by-line estimate so nothing surprises you.
Sign at the title company, get the keys, and plan to live in the home as your primary residence. VA generally expects you to move in within about 60 days of closing. Your entitlement can be used again later, and in some cases you can have more than one VA loan.
VA does not finance raw land by itself, and it does not finance a working ranch. It can finance a home that sits on acreage. The lender and the VA appraiser decide how much land fits the home's use. If you are looking at 10 acres or more, ask a VA lender early, before you fall for a place. Texas also runs its own Veterans Land Board program for veterans who want to buy land. See the official program page for current terms.
Tell us what you are looking for. We will walk you through each step and help you find homes that fit VA rules.