"What's the VA loan limit in Texas?" is one of the most common questions I hear from military families around Fort Hood, Killeen, Belton, and Temple. The short answer surprises a lot of people: if you have full entitlement, the VA doesn't set a loan limit. If you've used your benefit before and still have a VA loan out there, a county loan limit comes into play, and that's where a little math matters.
I'm Taylor Ring, a Mortgage Loan Officer with Fairway Independent Mortgage (The Wood Group) in Belton. Let's walk through how it works, using the VA's own rules.
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First, What Is VA Entitlement?
When you get a VA-backed loan, the VA promises your lender it will pay back a portion of the loan if you default. That promise is called the loan guaranty, and your entitlement is the amount of guaranty you have available. It's what makes buying with no down payment possible in most cases.
Your Certificate of Eligibility (COE) shows your entitlement. You can request a COE online, by mail, or through your lender, who may be able to pull it through VA's online system. I help buyers get theirs all the time.
Basic Entitlement
According to the VA, if your COE shows basic entitlement of $36,000, you have full entitlement. That $36,000 isn't what you can borrow. It's the most the VA will pay your lender on a loan of $144,000 or less. For loans above $144,000, the VA guarantees up to 25% of the loan amount.
Bonus Entitlement
Bonus entitlement (also called second-tier entitlement) covers loans above $144,000. It isn't listed on your COE, so it has to be calculated.
If You Have Full Entitlement: No VA Loan Limit
With full entitlement, the VA says you don't have a loan limit, as long as you can afford the loan and the appraisal supports the price. That doesn't mean unlimited borrowing, though. Your lender still decides how much you can afford based on:
- Your credit history
- Your income
- Your debts
- Your assets, like savings and retirement accounts
The VA also caps the loan at the appraised value or the purchase price, whichever is lower. The VA doesn't require a minimum credit score, but lenders may.
If You've Used Your Entitlement: County Limits Apply
If you still have a VA loan open, or you used your entitlement and haven't had it restored, your remaining entitlement is based on the county loan limit where you're buying. The VA uses the same limits as the Federal Housing Finance Agency (FHFA) conforming loan limits, and you should use the one-unit limit, even for a multi-unit property. You can look up the county limit on the FHFA website, and I'll confirm it for the county you're buying in.
How to Calculate Remaining Entitlement
The VA lays out four steps:
- Find the entitlement you've already used in the "Entitlement Charged" column of your COE.
- Look up the one-unit county loan limit.
- Multiply that limit by 25%.
- Subtract the entitlement you've used. The result is your remaining bonus entitlement.
The VA's Own Example
The VA uses a hypothetical county limit of $900,000 and $50,000 of entitlement already used:
| Step | Math | Result |
|---|---|---|
| 25% of county limit | $900,000 × 0.25 | $225,000 |
| Minus entitlement used | $225,000 − $50,000 | $175,000 remaining |
| Max loan most lenders allow with no down payment | $175,000 × 4 | $700,000 |
Your numbers will be different. This example just shows how the formula works.
What If You Want to Borrow More?
You can still borrow above that amount with a VA loan if you're willing and able to make a down payment. Most lenders require that your entitlement, your down payment, or a combination of both covers at least 25% of the loan amount. Your lender still needs to approve the loan.
Getting Your Entitlement Back
The VA may restore entitlement you used before if:
- You sold the home and paid that loan in full, or
- A qualified veteran buyer assumes your loan and substitutes their entitlement, or
- You repaid the loan in full but kept the home (a one-time option)
This matters a lot around Fort Hood, where families sometimes keep a home after a move and buy again later. Even without restoration, you may still have remaining entitlement to buy again.
Don't Forget the Funding Fee
Most VA buyers pay a one-time VA funding fee. For a purchase with less than 5% down, the VA lists 2.15% for first use and 3.3% after first use. Putting 5% or more down lowers it. Veterans receiving VA compensation for a service-connected disability, and some others, are exempt. The fee can be financed into the loan.
For the bigger picture on VA benefits, see my VA loans page. If you're also exploring state help, my Texas first-time home buyer programs guide and down payment assistance in Texas guide cover options like TSAHC's Homes for Texas Heroes, which includes veterans, and TDHCA's veteran exceptions.
Frequently Asked Questions
Is there a VA loan limit in Texas?
If you have full entitlement, the VA doesn't set a loan limit, though your lender still approves the amount you can afford. If you've already used some entitlement, a county loan limit is used to figure out how much you can borrow with no down payment.
Where do I find the county loan limit?
The VA uses FHFA's conforming loan limits. Use the one-unit limit for the county where the home is located. I'll confirm it with you.
Can I have two VA loans at once?
Possibly. Even if your used entitlement hasn't been restored, the VA says you may still have remaining entitlement to buy another home. You'd still need to meet VA and lender requirements, including living in the new home.
Do I need a down payment if I don't have full entitlement?
Only if your remaining entitlement doesn't cover a 25% guaranty for the loan amount you want. In that case, a down payment can make up the difference.
How do I find out my entitlement?
Your COE shows your entitlement. I can help you request it and walk through the math together.
Let's Run Your Numbers
Entitlement math is easier with someone who does it every day. I'll help you figure out what you can borrow and whether you'll need anything down.
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Taylor Ring, NMLS# 2809683 | Fairway Independent Mortgage Corp, NMLS# 2289 | Equal Housing Opportunity