The following is courtesy of James Kelley of VABenefitBlog.com. Its contents are purely attributable to the author.

Despite the poor national economy, the Texas real estate market has actually been doing quite well, especially when compared to the rest of the country. With record low prices and interest rates, Texas recently took the award for the “strongest post-crisis” economy in the U.S., according to an article in Housing Wire. And the state’s housing market isn’t far behind on the road to recovery. Many Houston-area residents will surely appreciate this good news. For veterans looking to retire in The Woodlands, however, the news of a buyer’s market might come as a double-joy. Texas Veterans enjoy some of the best home loan benefits in the nation. Texas Vets owe it to themselves to become familiar with both the VA and Tex Vet loan programs. Then, they can see which one is the best fit before deciding to put down roots, raise a family, or retire in the Lone Star State. VA Loan Vs. Tex Vet Loan Tex Vet Loans differ from the regular VA mortgage program, offering a couple of perks to Texas residents only. However, they do share some similarities such as the poplar no-money-down option. They both offer excellent interest rates borrowers with fees that can be rolled into the monthly mortgage payment. The median price for a home in Texas right now is a little above $147,000, but that varies greatly by county. With the VA and Tex Vet loans, potential homeowners can borrow more than $300,000 for the purchase of a home. Extra funds could be put towards renovation and repairs—or bills. The house will go through a pre-purchase appraisal; making sure the property is in ship-shape condition. Conventional borrowers do not usually receive such a luxury. Not to mention, conventional home buyers are often duped into hidden fees, which leads to significant debt. The Department of Veterans Affairs has restricted lenders from putting added fees in their contracts. In a sense, veterans and their families get what they see and see what they get. Which brings us to the differences. How does the Tex Vet Loan program differ from the VA loan? The Texas Veterans Land Bureau (VLB) established the loan program in 1983. They wanted to provide service members with cheaper home-buying options. The VLB succeeded if the current Texas Association of Realtors report is any indication. Unlike the VA loan, Tex Vet loans offer two fantastic discounts for veteran home buyers. The Disabled Veterans Discount gives veterans with service-connected disabilities discounts on their interest rates. A qualifying veteran could receive up to a 0.5% deduction on the interest rate. The Surviving Spouse Discount aims to take care of spouses of a partner killed in the line of duty. A spouse who qualifies for the VA loan could also receive a deduction on the interest rate—up to 0.5%. Through the ENERGY STAR program, veterans could also buy a home that is energy efficient. Such homes usually cut down on utility bill costs. A new home must meet ENERGY STAR guidelines and be ENERGY STAR labeled and certified. Qualifications Only Texas residents can take advantage of Tex Vet Loan, so establish a primary residency as soon as possible. The home must also be on the Texas Veterans Housing Assistance Program list of approved lenders. Finally, a decent credit score will be a requirement along with a good debt-to-income ratio. A Houston realtor or loan counselor can help steer borrowers in the right direction to meet their home ownership dreams.

An Open Letter to the Texas Real Estate Commission

In times of fear, the courageous get wealthy. We're seeing smart money get invested in this economy, including in real estate. Don't get me wrong - there are a million ways to screw it up (that's why you need an expert broker/adviser). But the underlying dynamics are getting more solid with each new economic report.