Step-by-Step Guide to Applying for a VLB Land Loan in Texas

Here’s what I hear all the time from vets around Texas:

• “Is the VLB loan only for retirees?”
• “Do I need perfect credit to qualify?”
• “How long is this gonna take?”
• “Am I gonna get buried in paperwork?”
• “What exactly can I buy with it? Is it only raw land?”

I’ve walked several vets through this process, and I’ve seen what trips people up. It’s not just the forms – it’s knowing when to do what, who to talk to, and how to not get stuck in the mud halfway through. So I wrote this because you deserve to win with land loans, not waste months going in circles.

What is a VLB Land Loan?

Let’s start from the top. The Veterans Land Board (VLB) is a Texas-only program that offers land loans to eligible Texas veterans, active-duty military, and some surviving spouses. This isn’t just some random perk — it’s one of the most powerful tools available if you’re looking to buy land in Texas.

With the VLB land loan, you can finance up to $150,000 to buy land that’s at least one acre. The interest rates are solid (with discounts for disabled vets), the down payment can be as low as 5%, and terms go up to 30 years. Huge opportunity.

Step 1: Check if You’re Eligible

This 30-second move saves hours later. Before anything else, make sure you qualify. The rules are tough but clear:

• You’re a Texas resident
• Served at least 90 active duty days (unless discharged sooner due to service-connected issue)
• Honorable discharge (if no longer active)
• Active-duty? You’re in.
• National Guard & Reservists? Yes, if you’ve been activated under Title 10 orders
• Surviving spouses? Yes, under certain conditions

If that’s you, welcome — you’re already ahead of the crowd. If you’re still not 100% sure, the VLB has a quick form on their website you can fill out to see if you’re good to go.

Also check our guide on what credit score you need to buy land — that’s super relevant if you’re looking at land seriously.

Step 2: Get Prequalified for a VLB Land Loan

Don’t skip this. This simple step shows sellers you’re serious and gives you the real numbers on what you can buy.

Here’s what I tell every vet I talk to:

• Apply for prequalification online via the Texas Veterans Land Board’s loan portal
• You’ll need income info, SSN, military service docs (like DD-214), and address
• It’s NOT a full application – just a quick snapshot so you know your buying power
• This is where you’ll find out what your monthly payment might look like

Most people stop here and check Zillow. Don’t stop — you’re just getting started. Now that you know your budget, we move to the fun part.

Step 3: Find VLB-Eligible Land

This is NOT land hunting like most people do it. The VLB puts restrictions on what you can buy. If you don’t know them, you’ll waste weeks looking at land that doesn’t qualify.

Here’s what to remember:

• The land must be in Texas (duh — but had to say it)
• Minimum one acre
• Must have legal access (no landlocked stuff)
• Cannot be used primarily for business (like a commercial dump site)
• Ag exemption? That’s a maybe — check with appraisal district

Want an inside tip? The VLB posts land they’ve already verified on their site — search “VLB Land Sale Listings” and you’ll see preapproved lots.

Also, check out our take on the pros and cons of buying land in Texas — I talk about zoning, soil types, and why some land won’t be worth the headache, even with a VLB loan.

Step 4: Submit Full VLB Loan Application

This is when it gets real.

Once you’ve got a piece of land in your crosshairs, you hit go and send the official loan app. Here’s what’s involved:

• Full application (online or downloadable PDF)
• Copy of land purchase contract — this proves you’ve got a deal in motion
• Paystubs, service records, bank info
• Appraisal fee and credit check (usually bundled into upfront costs)

A lot of people mess this up by not submitting enough documentation. Be detailed. Give more than they ask. That’s how you fast-track it. Make their job easy.

Step 5: Land Appraisal + Approval

VLB will now do two things with your file:

• Get an appraisal on the land to make sure you’re not overpaying
• Verify all your paperwork checks out — income, service record, credit

Want the truth? This part can take a few weeks. Don’t sweat it — just stay in touch with your VLB rep and get in front of anything they need before they ask. That’s the cheat code to faster approval.

Insider move: if you’re also using a realtor, make sure they understand VLB loans. Not all of them do. Educate them if you have to.

While you wait, I suggest skimming our guide to choosing a real estate agent — it can make or break your deal.

Step 6: Close the Deal

Once you’re approved, the VLB loan will move to closing.

Here’s what to expect at this stage:

• Your 5% down payment gets paid
• Title transfer, legal docs, and VLB records get signed
• You officially become a Texas landowner 🚀

Make sure your closing agent is familiar with these types of loans. And don’t be afraid to ask for clarity on anything — if you don’t understand a clause, flag it.

You’re not just buying dirt. You’re buying options, freedom, and real leverage as a veteran. This isn’t just a purchase. It’s a strategic play.

FAQs: 

Can I use VLB land loans for investment properties?

Nope. It’s strictly for personal use, not flipping or building rentals.

Is it only raw land, or can I get a home on it?

The VLB land loan is just for land. But you can also stack it with a VLB home loan or home improvement loan later.

Do I need a VA loan COE (Certificate of Eligibility)?

Nope. Different rules. You just need your DD-214 or military docs to prove your service.

Do I have to live on the land?

Nope. The land has to be for personal purposes, but there’s no requirement to build or live there immediately.

How long does the whole process take?

Roughly 30–45 days if your paperwork is tight. Longer if appraisals or documents lag.