Texas Conventional Loans 2026
Conventional loans offer Texas homebuyers the most flexibility with as little as 3% down, competitive rates, and removable PMI. Ideal for buyers in Katy, Sugar Land, Houston, and throughout Texas.
Expert guidance for Texas conventional mortgage financing
Texas Conforming Loan Limits (2026)
All Texas counties have the standard conforming limit of $832,750 for single-family homes:
| County | 2026 Conforming Limit | Area Type |
|---|---|---|
| Harris (Houston) | $832,750 | Standard |
| Fort Bend (Katy, Sugar Land) | $832,750 | Standard |
| Dallas | $832,750 | Standard |
| Tarrant (Fort Worth) | $832,750 | Standard |
| Travis (Austin) | $832,750 | Standard |
| Bexar (San Antonio) | $832,750 | Standard |
| Collin (Plano) | $832,750 | Standard |
| Montgomery (The Woodlands) | $832,750 | Standard |
Verified as of July 2026 (FHFA/HUD)
*Need financing above $832,750? Ask about our Texas jumbo loan options.
Explore Conventional Loans by Texas Region
Choose your region for local conventional loan guidance and county loan limits:
Houston Metro
Harris, Fort Bend & Montgomery county communities.
Learn MoreDallas–Fort Worth
The DFW metroplex and its booming suburbs.
Learn MoreSan Antonio
Bexar County and the surrounding Hill Country.
Learn MoreAustin Metro
Travis, Williamson & Hays county markets.
Learn MoreCentral Texas
Waco, Killeen, Temple and the Belton corridor.
Learn MoreRio Grande Valley
McAllen, Edinburg, Mission and the greater RGV.
Learn MoreWhy Texas Buyers Choose Conventional Loans
Removable PMI
Unlike FHA's lifetime MIP, conventional PMI cancels automatically at 22% equity or by request at 20%.
Lower Total Cost
With good credit (700+), conventional loans often have lower total costs than FHA over the loan life.
Flexible Properties
Conventional loans work for primary homes, second homes, investment properties, and condos.
3% Down Option
First-time buyers can put as little as 3% down with Fannie Mae HomeReady or Freddie Mac Home Possible.
No Upfront MIP
Unlike FHA's 1.75% upfront fee, conventional loans have no upfront mortgage insurance premium.
Gift Funds OK
100% of your down payment can come from family gift funds with proper documentation.
Calculate Your Texas Mortgage Payment
Use our free calculator to estimate your monthly payment including principal, interest, taxes, insurance, and PMI.
Open CalculatorTexas Conventional Loan FAQs
What is the conforming loan limit in Texas for 2026?
The 2026 conforming loan limit in Texas is $832,750 for single-family homes in most counties. This is the standard limit set by FHFA that applies to Harris (Houston), Fort Bend (Katy, Sugar Land), Dallas, and most Texas counties.
What credit score do I need for a conventional loan in Texas?
For a Texas conventional loan, the minimum credit score is typically 620. However, for the best rates and to qualify with only 3% down, a score of 740+ is ideal. Higher scores also mean lower PMI costs.
How do I remove PMI on my Texas conventional loan?
PMI on Texas conventional loans can be removed when you reach 20% equity. It automatically cancels at 22% equity or halfway through your loan term. You can also request early removal through a new appraisal if your home has appreciated.
Is a conventional or FHA loan better in Texas?
It depends on your situation. Conventional is better if you have 5%+ down and 700+ credit (lower total cost, removable PMI). FHA is better for lower credit scores (580+) or minimal down payment with less-than-perfect credit.
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From the blog & learning center
Conventional Loan Guides & Articles
Deep Dive: Vacation Home Guide
Financing options and rules for buying a second or vacation home.
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ARM vs Fixed: What Is a 5/6 ARM and When Does It Make Sense?
A 5/6 ARM carries an introductory rate for five years, then adjusts every six months. Learn how ARMs compare to fixed loans and when each makes sense.
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How to Get Rid of PMI: Equity, Reappraisal, and Refinancing
Private mortgage insurance (PMI) on a conventional loan cancels automatically once your balance reaches 78% of the home's original value, but you don't have to wait that long. You can request removal at 20% equity, and if your home has appreciated, a reappraisal or refinance can eliminate it even sooner.
Read more
Gift Funds: The Rules for Down Payment Gifts
A family member can give you money for your down payment, and on most loan types the entire down payment can be a gift. The key rules: it has to be a true gift with no repayment expected, it must come from an acceptable source, and it has to be documented with a gift letter and a clear paper trail.
Read moreSeller Concessions: How Much Can the Seller Pay?
A seller concession is when the seller agrees to pay part of your closing costs as a term of the sale. It's a legitimate, common way to reduce your cash to close, and depending on the loan type and your down payment, a seller can contribute anywhere from 2% to 9% of the purchase price toward your costs.
Read moreWhat Credit Score Do You Need for Each Loan Type?
The minimum credit score depends entirely on the loan program: FHA goes as low as 500-580, VA and USDA have no federal minimum (lenders typically want 580-640), conventional generally starts around 620, and jumbo loans want 700 or higher. Here's the breakdown by program.
Read more