1. (a) Land selected by a veteran for purchase or financing through the program must:

   1. (1) be situated entirely in Texas;
   2. (2) contain at least one (1) net acre (excluding, as determined by the board, inundated or submerged land, or otherwise unusable land);
   3. (3) have insurable title under conditions acceptable to the board;
   4. (4) if more than one tract of land is selected the tracts must be contiguous; or, if not contiguous, then one tract must meet the minimum acreage requirement, and the use, location, and value of the tracts would permit the board, in its sole discretion, to consider the combination of the tracts as one tract;

   5. (5) have direct access to a publicly maintained road. If the tract does not directly abut a publicly maintained road:

      1. (A) access may be provided by way of a public or private perpetual access easement either conveyed to the borrower or board or dedicated to the public or subdivision owners;
      2. (B) all roadway easements must be at least sixty (60) feet wide or meet the county's minimum width requirement for a publicly maintained road, whichever is greater. The width requirement may be waived by the chairman, but in no event can an easement be less than thirty (30) feet in width;
      3. (C) easements being conveyed to the borrower or board must be described by metes and bounds. The description must contain specific tie calls to both the tract and publicly maintained road;
      4. (D) if the easement is dedicated to the public or subdivision owners, it must refer to the recording information of the subdivision plat or other dedication instrument and a copy of the instrument must be provided to the board; and
      5. (E) easement and roads must be usable by two (2)-wheel drive automobiles during inclement weather, including snow, rain, and freezing temperatures.
   6. (6) in the case of flagpole tracts, or tracts with a similar configuration, where the pole portion of the tract provides access to the main body (flag portion) of the tract, the pole portion of the tract must meet the width and drivability requirements for an access easement, and the main body of the tract must meet the requirement of one (1) net acre, as determined by the board.
2. (b) The board will not purchase or finance a tract of land that was wholly owned by the veteran or his spouse, separately or jointly, within three (3) years of the date of application.
3. (c) If the veteran or his or her spouse owns an undivided interest in the land that he or she has selected, the board may approve the application after the tract has been partitioned, and a copy of the recorded partition deed is furnished to the board. The board may purchase only that interest not owned by the applicant or the applicant's spouse. If the land is not partitioned because the applicant is purchasing the remaining undivided interest not currently owned by the applicant or the applicant's spouse, the board may nonetheless approve the purchase or financing of the tract. In such cases, the purchase price or loan amount will be limited to the value of the interest not previously owned by the applicant or the applicant's spouse. Whether or not the land is partitioned, however, title to the entire tract must be conveyed to the board, or the board must be in a first lien position as to the entire tract.
4. (d) Except as provided in subsection (c) of this section, the board will not purchase or finance land in which the seller or any prior owner is to retain any interest, other than a mineral interest or an access or utility easement.
5. (e) The board will not approve any application that will result in a refinancing of a prior purchase by a veteran or his or her spouse.
6. (f) A tract must be free and clear of all liens when the board takes title or perfects its lien.
7. (g) The board reserves the right to refuse to purchase or finance any tract for any reason.

Source Note:The provisions of this §175.3 adopted to be effective March 11, 1986, 11 TexReg 1005; amended to be effective November 10, 1986, 11 TexReg 4487; amended to be effective January 8, 2002, 27 TexReg 286; amended to be effective October 21, 2003, 28 TexReg 9088; amended to be effective May 27, 2026, 51 TexReg 3615.