Yes. The Texas Veterans Land Board’s Veterans Housing Assistance Program (VHAP) can finance a new build in San Antonio, as long as the home meets local building standards for new construction and becomes your primary residence. You apply through a VLB participating lender, and you can pair it with a VA loan. The GLO lists a maximum of $832,750, occupancy within 60 days of closing, and a three-year primary-residence rule.
Brock Bremmer | U.S. Air Force Reserves Veteran | Real Estate Agent | eXp Realty | San Antonio Metro Area
New Construction & VA Specialist
Also see: VA Loans on New Construction | Getting Your VA COE | TSAHC Homes for Texas Heroes
What Is the Texas VLB Home Loan?
The Legislature created the VLB Veterans Housing Assistance Program in 1983 to help Texas Veterans buy homes. The Texas General Land Office (GLO) runs it today. Here’s what the GLO lists:
- Loan amount: up to $832,750 for Veterans, Military Members, and their spouses.
- Terms: fixed rate for 15, 20, 25, or 30 years.
- Rate: the VLB base rate can adjust on the first business day of each week. Veterans with a VA service-connected disability rating of 30% or higher qualify for a discounted rate.
- Lien position: the VLB loan sits in first lien position on your primary residence.
- Funding: the GLO says VLB programs are self-funded through bonds, not taxpayer money.
Rates change, so get a current quote from a participating lender rather than relying on any number you see online.
Who Qualifies for a VLB Home Loan?
You must be at least 18 and a bona fide, legal Texas resident on the date you apply. The GLO lists these service categories:
- An active duty Military Member
- A member of the Texas National Guard
- A reserve component Military Member who has completed 20 qualifying years for retirement
- A Veteran who served at least 90 active duty days, unless discharged sooner for a service-connected disability, and not discharged dishonorably
- A surviving spouse of a Veteran listed as missing in action or whose death was service-connected
Discharge type matters. Honorable, general, or medical discharges are eligible. Other types generally aren’t, unless you have a VA certificate of eligibility or similar USVA document showing you qualify for a VA loan. These rules aren’t the same as VA’s, so check both. For VA’s side, see VA eligibility for Guard and Reserve members.
How Does a VLB Loan Work With a VA Loan on a New Build?
The GLO says you can apply for VA, FHA, or conventional financing through the VHAP and a VLB participating lender. Veterans who use VA benefits with the VLB program may qualify for no down payment and no private mortgage insurance. The VA rules still apply on top of that. The home has to appraise and meet VA’s requirements, and the VA funding fee applies unless you’re exempt. See the VA funding fee on a new build.
On a production-builder home, this is a regular purchase. The GLO requires new construction to meet local, state, and federal building standards for new homes. The catch is the lender. Builders often tie incentives to their own mortgage company, and that lender may not be a VLB participating lender. Before you sign, check the GLO’s lender list by county for Bexar, Comal, or Kendall County. Then compare the builder’s incentive against a VLB lender’s Loan Estimate. My video How to Buy a New Construction Home with a VA Loan in San Antonio covers the builder side.
Can You Use It to Build on Your Own Lot?
Only as a permanent loan after construction, and only with care. The VLB doesn’t refinance existing loans. Texas Administrative Code Title 40, §177.8 says the board’s loan must be a new mortgage. It also says the home doesn’t have to be new construction and must sit on a permanent foundation. A VLB product description published by Gateway First Bank in March 2026 says construction-to-permanent financing is permitted if the original construction loan doesn’t exceed 24 months, and that you sign a VLB take-out loan affidavit. Confirm the current rules with a participating lender before you close on a construction loan. For the VA route, see VA loans for building on your own lot.
What Rules Follow You After Closing?
- Move-in deadline: you must occupy the home within 60 days after closing.
- Three-year residence: it must stay your primary residence for at least three years. Under §177.8, the board may raise the rate or call the loan due if you violate this.
- One home loan at a time: once you pay off a VLB home loan, you can get another. You can also hold one VLB land loan and one home loan at the same time.
VA has its own occupancy rules too. See VA occupancy rules on a new build.
What Are the Steps?
- Download and complete the VLB Certification of Eligibility application.
- Get your VA certificate of eligibility if you plan to use a VA loan.
- Pick a VLB participating lender in your county and get pre-qualified.
- Compare that Loan Estimate with the builder lender’s offer, including incentives.
- Sign the builder contract only after your financing plan is clear.
Also check whether you qualify for a disabled veteran property tax exemption. See disabled veteran property taxes on a new build.
Frequently Asked Questions
Can you combine a Texas VLB loan with a VA loan?
Yes. The Texas General Land Office says eligible Veterans and Military Members can apply for VA, FHA, or conventional financing through the VLB Veterans Housing Assistance Program and a VLB participating lender. Veterans who use VA home loan benefits with the VLB program may be eligible for no down payment and no private mortgage insurance.
How much can you borrow with a Texas VLB home loan?
The GLO’s home loan page says Veterans, Military Members, and their spouses may receive up to $832,750 on a fixed-rate loan with a 15, 20, 25, or 30-year term. All VLB loans are subject to credit approval, and rates and discounts can change weekly.
Want Help Comparing VLB, VA, and Builder Financing?
Brock Bremmer with eXp Realty is a U.S. Air Force Reserves veteran with 130+ homes sold across the San Antonio metro and an eXp ICON agent (2023–24). He helps VA buyers line up builder incentives, lender options, and contract deadlines on new construction in San Antonio, New Braunfels, and Boerne.
- 📞 Call or text: 210-501-5088
- 📧 Email: [email protected]
- 📅 Schedule a free consultation
Also see: VA Loan Guide for San Antonio | Builder Buydowns With a VA Loan | VA Credit Scores | PCS to San Antonio
Sources: Texas General Land Office, VLB Home Loans; GLO, VLB home loan amount increase to $832,750; VLB Certification of Eligibility application; GLO, Find a VLB lender; 40 Tex. Admin. Code §177.8, Qualifying Homes; Gateway First Bank, TVLB Product Description (March 31, 2026); VA.gov, VA home loans (accessed November 11, 2026).