Licensed in Texas · NMLS 1352284
Mortgage Lender Licensed in Texas
Texas writes its own mortgage law into the state constitution. If your lender does not know that cold, your cash-out will fall apart at the closing table.
Overview
Texas is the one state where the constitution, not the investor, sets the rules.
Section 50(a)(6) of the Texas Constitution governs home equity lending here, and it is stricter than federal guidelines in ways that surprise borrowers who have refinanced in other states. Total borrowing after a cash-out cannot exceed 80% of the appraised value. You may complete only one 50(a)(6) loan per twelve months. There is a mandatory twelve-day cooling-off period between disclosure and closing that cannot be waived, no matter how motivated everyone is. Lender-controlled closing costs are capped at 2% of the loan amount, and the loan is available only on your homestead. The detail that catches veterans off guard: a Texas veteran cannot take a 100% VA cash-out, because the state’s 80% constitutional cap applies regardless of what the VA would otherwise allow. The other Texas peculiarity is arithmetic rather than legal — no state income tax, but among the highest property tax rates in the country, and that tax lands directly in your qualifying payment. Two borrowers with identical incomes qualify for meaningfully different loan amounts in Texas than in Colorado.
Who I work with here
Texas borrowers I help most often
- Homeowners wanting a cash-out under Texas 50(a)(6) rules
- Veterans discovering the 80% Texas cap on VA cash-out
- First-time buyers using TSAHC or SETH assistance
- Self-employed borrowers who cannot qualify on tax returns
- Investors buying rentals in Houston, San Antonio and DFW
- Anyone whose refinance stalled over a Texas-specific rule
Programs
What works in Texas
Texas 50(a)(6) cash-out
80% maximum, one per twelve months, twelve-day cooling off, 2% lender fee cap, homestead only. Run correctly the first time. Compare with other states.
FHA county limits
For 2026 Harris County sits at the national floor of $541,287; Travis is $571,550, Dallas $563,500, Bexar $557,750. See FHA loans.
TSAHC assistance
Homes for Texas Heroes and Home Sweet Texas offer up to 5% in down payment help plus a mortgage credit certificate. See the hero programs.
SETH programs
Three SETH options — 5 Star Texas Advantage, MyHome Plus and Buyer Select. Start with 5 Star.
Property tax and DTI
High property taxes compress what you qualify for. I model the real tax figure by county before you shop, not after.
DSCR and investor loans
Texas rent-to-price ratios still work for investors outside the coastal markets. See DSCR loans.
Buying or refinancing in Texas?
Tell me the county and whether it is a purchase or a cash-out. I will flag the 50(a)(6) issues before they cost you a closing. Call (303) 557-3846 or start online.
Common questions about Texas mortgages
Can I take 100% cash-out on a VA loan in Texas?
No. Texas caps total borrowing at 80% of appraised value under Section 50(a)(6) of the state constitution, and that cap applies to VA cash-out refinances even though the VA itself would permit more. A veteran in Colorado can go higher on the same file; in Texas the state constitution controls.
How long does a Texas cash-out refinance take?
Longer than elsewhere, by law. Texas requires a twelve-day cooling-off period between the required disclosure and closing, and it cannot be waived or shortened for any reason. Add a three-day right of rescission after signing. Budget the calendar accordingly — a Texas cash-out that “has to close Friday” usually cannot.
How often can I do a cash-out refinance in Texas?
Once every twelve months. Texas permits only one Section 50(a)(6) home equity loan per twelve-month period on the same homestead property, regardless of how much equity you have.
What is the FHA loan limit in Texas for 2026?
It varies by county. The 2026 floor is $541,287, which is where Harris County (Houston) sits. Travis County is $571,550, Dallas County $563,500 and Bexar County $557,750. The highest in the state is $813,050 in Glasscock County. The conforming limit is $832,750 statewide.
Choosing between them? See Texas down payment assistance compared side by side.
Relocating? See moving from California to Texas — property taxes, loan limits and using your sale proceeds.