Texas veteran land loan
Veteran land loans in Texas are very popular and are administered by the Texas Veterans Land Board or VLB. It is a division of Texas General Land Office. There are three loan programs administered by above office and these are Veterans Housing Assistance Purchase Program, Land Loan Program and Veterans Home Improvement Loan Program. Texas Veteran Land Board offers one of lowest interest rates to veterans.
Veteran land loans can also be obtained for purchasing regular single family homes in various metro areas in the state. Tract of land is financed by Texas Veterans Land Board in which borrower is interested. Loan closing takes about 60 days if a person has submitted all the necessary documents in timely manner. There must not be any unusual situations with respect to land purchase otherwise time required for closing may get extended. For getting any information, a person can easily call at 1-800-252-8387.
Eligibility
There are some conditions that must be satisfied for getting veteran land loans in Texas.">"> First of all, borrower must have served at least 90 cumulative days as active member in air force, navy, army, public health service, coast guard or in any other listed branches of service Or he must have served in ARVN or Armed Forces of Republican of Vietnam Or he should have completed initial active duty training with respect to National Guard or Reserve Component. It should be noted here that all the members who have served in Armed Forces of Republican of Vietnam between 28th February 1961 and 7th May, 1975 are eligible for housing and home improvement programs but not for veteran land loans in Texas. It is also required that borrower is a bona fide resident of state of Texas at the time of making the application. Bona fide resident is one who lives in Texas with an intention to remain in the state only. Thus, all active military duty members that are serving out of Texas but are residents of state are eligible to apply for veteran land loans in Texas. Similarly, if any person is resident of other stated but posted in Texas is not eligible to apply for the loan.
Applicant must have served after 16th September 1940 and must not be dishonorably discharged from the duties. Borrower must have listed Texas as his home at the time of entry in military services Or he must be a legal resident of Texas for minimum 12 consecutive monthly before making application. It is also required that borrower has successfully repaid all the loans provided by Texas Veterans Land Board. Loan is considered to be repaid in full when entire outstanding in the account has been paid by original veteran or last approved assignee. If there are other types of loans active in VLB, it is required that all are in good standing. It is important to understand here that surviving spouses of those veterans that are missing in action or who had died in duty or any other service connected cause are also eligible to apply for veteran land loans in Texas. For determining eligibility of a person for above loan program, Texas Veteran Eligibility Chart has been designed. However, this chart is used for preliminary screening only and final decision is made by VLB on the basis of supporting documents. Thus, eligibility of borrower for veteran land loans in Texas is determined on the basis of service in military and residency in the state. All loans are subject to credit approval. As far as interest rate is concerned, it is 7.25% at present and is subject to change.
Other important aspects
Before a person enters into contract for the purchase of land, he must ensure that land in question is suitable in each and every manner. For being eligible for veteran land loans in Texas, it is required that land lies wholly within the state. Similarly, land must contain minimum one acre of area, excluding area covered under public roadway, navigable waterway etc. It is also required that land has legal as well as usable access to public road and this access should meet the minimum road width requirements of the county in which it is located. In case, no specifications have been provided by the county, minimum width of road required is 60 feet. It is important to understand here that usable means a road that can be driven by a passenger car. Apart from above, it is also required that borrower provides the survey of land that has been certified by registered land surveyor. Borrower is not allowed to invest any money in the land before the closing of loan. If any veteran or his or her spouse has owned interest in land within past 3 years, veteran land loans in Texas are not provided.
Applying for veteran land loans in Texas is easy and a person can easily call at 1-800-252-8387 once he has located the land. Application can be made online also. Though a person is not required to accompany appraisal representative of VLB for physical inspection of land, he may elect to do same. Appraiser contacts the borrower for setting up an appointment for the physical inspection of tract. It is necessary that appraised value of land is same as contract price. In case, appraised value is less, borrower can renegotiate the contract price with the seller of land or can cancel the transaction.
There is also some fees payable for getting veteran land loans in Texas. Appraisal and contract fee is $325 and it must be submitted with the application. As far as down payment is concerned, it is 5% minimum and should be in certified funds. Maximum loan amount offered is $40000 at present. Web sites of many offices provide necessary information regarding veteran land loans in Texas. These are Texas General Land Office and Texas VLB Loan Page.
No doubt, veteran land loans in Texas have proved very useful for people who have served for nation. It is one of most commendable steps taken by the land board and other institutions for recognizing the services offered by veterans.
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