VA vs. Tex Vet
What is the difference between a VA Loan and a Tx Veteran Land Board Loan?
VA Loan - A Veterans Administration loan (VA Loan) is a loan that is provided to eligible and qualifying veterans. The loan is provided by participating banks, but is guaranteed by the VA. Guaranteed means that if the Veteran defaults on the loan, the VA will pay the participating bank for a portion of their loss. It is because of this guarantee that VA loans are available with zero down and at low interest rates.
Texas Veteran Land Board Program - The Texas Veteran Land Board (TVLB) Program is a very unique program for veterans who are certified as eligible Texas Veterans. The TVLB Does NOT approve loans for purchasing homes. But they do provide advantages that are delivered by participating banks. The TVLB Program helps Veterans in 3 ways:
- Purchase Homes: Eligible TVLB Vets are able to obtain an interest rate quote that is usually well below existing market rates. That interest rate quote is then good to be used with a VA Loan, FHA Loan or Conventional Loan. The eligible, qualifying Veteran is guaranteed the low TVLB rate, while being able to utilize the mortgage loan program that best fits their need and financial situation. Eligible and qualifying TLB Program Veterans must work with a mortgage professional like me when purchasing a home. As your mortgage advisor, I will help you determine the best mortgage loan program and then help you get the TVLB Programs lowest rate to go with that program.
- Purchase Land: To purchase land, eligible and qualifying
Veterans must work directly with the Land Board. Land purchases require
a very different down payment and interest rate structure than home
purchases. The TVLB Program makes land purchase easier and thus more
readily available for the Veteran. Call me now and I will put you in
touch with the right person at TVLB.
- Home Improvement: For Veterans that already have a home
and want to upgrade their homes master bath, kitchen, roof or even add
a whole room. Eligible and qualifying Veterans must work directly with
the Land Board for this home improvement loan. Call me now and I will
put you in touch with the right person at TVLB.
The TVLB program is independent of and separate from the Veteran's Administration program. Like the VA program it provides certain guarantees to the participating lenders with regards to home purchase loans, but there are several significant differences.
The TVLB is financially self sufficient and does not takes money from tax payers or other public sources. In Texas we are very proud that we are not only taking care of our Veterans, but we are doing it in a way that continues to build on and highlight our Texas heritage. Self reliance, integrity, honor, compassion and a desire to be free.
There are a number of forms that may need to be filled out and questions that need to be answered. When you call or email me, I ensure that you only fill out the forms and answer the questions that are necessary. The matrix below covers the basics though. Please call me for a no obligation review of your family’s mortgage needs.
VA vs. Texas Vet Loan Comparison Chart |
Descriptions |
VA Loans |
Texas Vet Loans |
Eligibility |
Veterans in good standing with sufficient VA entitlement to insure loan |
Same as VA, plus, must be resident of Texas at time of application & meet Texas Vet residence requirements |
Closing Costs |
Lower closing costs. Rates with lender paid rebates for lower closing costs to you |
Usually higher closing costs. No lender rebates |
Maximum Loan Amount |
$417,000, including financed VA Funding Fee |
$325,000, including financed VA Funding Fee |
New Construction |
No additional requirements |
Must be Energy Star labeled & certified |
Rates |
- Many different rates with different amounts of lender rebate for reduced closing costs
- Rates change daily
|
- Base rate – “Most of the time” better than VA, but not always.
- Disability Rate = .5% LESS than Base rate. “Most of the time” – Can’t be beat and better than VA
- Rates change once per week - Friday at 6:00 pm
|
VA Funding Fee |
Required |
Required only for VA underwritten loans. |
|
