Get A Bigger VA Home Loan To Purchase A Texas Home in 2020

VA home loans were created in 1944 to provide affordable mortgages to WWII veterans. Today, VA home loans are also available to active duty servicemen and women after just 90 days of service. National Guard members and reservists may also qualify.

VA home loans provide several benefits to veteran and active duty servicemen and women, including the elimination of the down payment requirement*. Property sellers are also permitted to pay a portion of their closing costs. And since these home loans often offer lower rates and fees, they help create lasting affordability for homeowners.

VA Loan Limits for 2020

In 2020, Gibraltar Mortgage Services will provide VA home loans up to $510,400 for properties in Texas. Borrowers buying or refinancing in an area defined as “high cost,” including Alaska, Hawaii, Guam, & U.S. Virgin Islands, may qualify for up to $765,600.
Borrowers looking for higher loan amounts can apply for up to $2 million in Jumbo VA home loan funds. These home loans usually require a down payment and higher credit score.
Number of Units Maximum Base Conforming Loan Limits for Properties NOT in Alaska, Hawaii, Guam, & U.S. Virgin Islands Maximum Base Conforming Loan Limits for Properties in Alaska, Hawaii, Guam, & U.S. Virgin Islands
  2020 2019 2020 2019
1 $510,400 $484,350 $765,600 $726,525
2 $653,550 $620,200 $980,325 $930,300
3 $789,950 $749,650 $1,184,925 $1,124,475
4 $981,700 $931,600 $1,472,550 $1,397,400

Purple Heart Recipients Recognized

You may be familiar with the Blue Water Navy Vietnam Veteran Act, which was signed into law in June 2019. This Act eliminated the VA Funding Fee for applicants who were awarded the Purple Heart.
The Act also slightly increased the VA Funding Fee to a maximum of 2.30% for first use – up from 2.15% in 2019 - for all qualifying Active Duty, Veterans, Reserves and National Guard.
In addition to Purple Heart recipients, some disabled veterans and surviving spouses will also have their Funding Fee waived.

2020 VA Loan Funding Fees

Type of Loan Down Payment Percentage for First-Time Use Percentage for Subsequent Use
Purchase and Construction Loans None 2.30% 3.60%
5% to 10% 1.65% 1.65%
10% or more 1.40% 1.40%
Cash-out & Regular Refinancing  Loans n/a 2.30% 3.60%
Interest Rate Reduction Refinance Loan (IRRRL) n/a 0.50% 0.50%
Loan Assumptions n/a 0.50% 0.50%

When It Comes To VA Loans, We’ve Got Your Six.

Our experienced mortgage loan professionals are available online and within our network of branch offices located throughout the country. They can assist applicants with obtaining their required military documents, including Certificates of Eligibility (COE).
Learn more about VA home loan benefits by contacting one of our experienced mortgage loan originators today.

* VA Loans may not require a down payment if a borrower is not financing another home with a VA loan, and is not purchasing a property priced over the current VA loan limit.
- Jan 07, 2020