Using a VA Loan to Buy a Home in San Antonio (2026)
By Chris Dudley, San Antonio REALTOR®, Founder of Legacy Realty Group, brokered by Real Broker, LLC (TREC #731381). Updated October 27, 2026.
San Antonio is home to Joint Base San Antonio, so many buyers here use a VA home loan. This guide covers how the VA loan works in 2026, what it costs, the Texas programs that can be combined with it, and how property tax exemptions work for disabled veterans in Texas. For loan approval and exact numbers, talk with a VA-approved lender.
VA loan basics
- Loan limits: If you have full VA entitlement, VA says you have no loan limit, as long as you can afford the loan and the appraisal supports the price. Your lender still decides how much you can borrow. If part of your entitlement is already in use, your remaining entitlement is figured from the county's conforming loan limit (VA.gov).
- The appraisal matters: The most VA will lend is the lower of the appraised value or the purchase price.
- Seller concessions: Sellers and builders can pay closing costs for you. Closing-cost credits are not capped, but seller concessions (such as paying your funding fee) are limited to 4% of the home's reasonable value on the VA Notice of Value (VA.gov).
- What can be financed: On a purchase loan, only the VA funding fee can be rolled into the loan. Other fees are paid at closing, by you or through negotiated seller credits.
VA funding fee for a home purchase (2026)
The fee is a percentage of the loan amount, not the price. These rates come from VA.gov (rates effective April 7, 2023; page updated October 5, 2026).
| Down payment | First use | After first use |
|---|---|---|
| Less than 5% | 2.15% | 3.3% |
| 5% or more | 1.5% | 1.5% |
| 10% or more | 1.25% | 1.25% |
Who does not pay the funding fee: VA lists these groups as exempt: veterans receiving VA compensation for a service-connected disability (or eligible for it but receiving retirement or active-duty pay instead); surviving spouses receiving Dependency and Indemnity Compensation; service members with a proposed or memorandum rating issued before closing on a pre-discharge claim; and active-duty members who show evidence of a Purple Heart on or before closing. A rating issued after closing does not qualify for a refund (VA.gov).
Texas Veterans Land Board (VLB) home loans
The Texas Veterans Land Board's Veterans Housing Assistance Program works through participating lenders and can be used with VA, FHA or conventional loans. In January 2026 the VLB raised its maximum home loan to $832,750. Veterans with a VA service-connected disability rating of 30% or higher can qualify for discounted interest rates, and the program can be used more than once. Borrowers still have to qualify on income, credit and debt (KRIS 6, Jan. 13, 2026). Ask your lender whether it participates.
Property tax exemptions for disabled veterans in Texas
- 100% disabled veterans: A veteran with 100% VA disability compensation and either a 100% rating or a finding of individual unemployability can have the full appraised value of the homestead exempt (Texas Tax Code 11.131).
- Surviving spouses: The exemption can continue for a surviving spouse who has not remarried, with limits if they move to a new home.
- How to apply: File Form 50-114 with the appraisal district where the home is (Bexar Appraisal District for most San Antonio homes). If you qualify after January 1, the exemption can apply for the rest of that tax year (Texas Comptroller).
For homestead exemptions, protests and how taxes affect your payment, see the San Antonio property tax guide.
VA loan tips for San Antonio buyers
- Get your Certificate of Eligibility and a VA pre-approval first, so your offer is as strong as a conventional one.
- Ask for seller credits in the offer. Credits toward closing costs can lower cash to close (within VA's 4% concession limit).
- Plan for the VA appraisal. If the appraisal comes in low, you can renegotiate, pay the difference, or walk away under your contract terms.
- Choose the area by base and commute. See the guides for homes near JBSA-Lackland, JBSA-Randolph and JBSA-Fort Sam Houston, and the full military relocation guide.
- New builds are often VA-eligible. Bring your own agent to the first builder visit; see buying new construction in San Antonio.
Frequently asked questions
Is there a VA loan limit in San Antonio in 2026?
Not if you have full VA entitlement. VA says there is no loan limit as long as you can afford the loan and the appraisal supports the price. If some entitlement is in use, your limit is based on the county's conforming loan limit.
How much is the VA funding fee in 2026?
For a purchase with less than 5% down it is 2.15% of the loan on first use and 3.3% after that; 1.5% with 5% or more down; 1.25% with 10% or more down. Veterans receiving VA disability compensation are exempt.
Can the seller pay my closing costs on a VA loan?
Yes. Closing-cost credits are not capped, but seller concessions such as paying your funding fee are limited to 4% of the home's reasonable value.
Can I combine a VA loan with a Texas Veterans Land Board loan?
Yes. The VLB's Veterans Housing Assistance Program works with VA, FHA and conventional loans through participating lenders, with a maximum home loan of $832,750 as of January 2026.
Do disabled veterans pay property taxes on a home in San Antonio?
A veteran with 100% VA disability compensation and a 100% rating or individual unemployability can have the full value of the homestead exempt under Texas Tax Code 11.131. Apply with Form 50-114 at the appraisal district.
Who can help me buy a home in San Antonio with a VA loan?
Chris Dudley is a San Antonio REALTOR® and Founder of Legacy Realty Group, brokered by Real Broker, LLC (TREC #731381). He helps buyers across Alamo Ranch, Stone Oak, Cibolo, Schertz, Converse, Live Oak, Universal City, New Braunfels and the rest of the San Antonio area. Call (210) 838-6099.
Next step
Thinking about using your VA loan in San Antonio? Call or text Chris Dudley at (210) 838-6099 (Mon-Sat, 9 AM-6 PM).
Related guides: Military relocation to San Antonio | First-time buyer guide | Closing costs | Moving to San Antonio | FAQ | About Chris
This page is general information, not loan, tax or legal advice. Program terms change; confirm with a VA-approved lender, the Texas Veterans Land Board and your appraisal district.