The Texas Home Buying Process, Step by Step
How Homevets Realty walks Fort Hood families, veterans and first-time buyers from the first conversation to the keys — under the rules that actually apply in 2026.
A good map turns a stressful purchase into a series of small, confident decisions. This is ours.
The Texas home buying process runs on state-promulgated contracts, strict deadlines and, as of 2026, a new state law that changes how your first showing works. For years our office handed buyers a one-page flowchart. Several of its details are now out of date, so we rebuilt it around current Texas Real Estate Commission (TREC) forms and Texas REALTORS® guidance. If you are buying in Killeen, Harker Heights, Copperas Cove, Belton or Temple, this is exactly how Homevets Realty will guide you.
The short answer
In 2026 the Texas home buying process has 15 steps: consultation, a written buyer agreement, pre-approval, search, showings, the offer, an executed contract, earnest money and option fee delivered within 3 days, inspections during the option period, the loan application, appraisal, underwriting, title and survey, closing and funding, and possession. Most financed purchases near Fort Hood close 30 to 45 days after the contract is signed.
What Changed in the Texas Home Buying Process for 2026
Two things reshaped the way buyers purchase homes in Texas this year. First, Senate Bill 1968 took effect January 1, 2026, and added Section 1101.563 to the Texas Real Estate License Act. It requires a written agreement between a license holder and a residential buyer before any home is shown. Second, TREC adopted a revised One to Four Family Residential Contract (TREC No. 20-19, dated 05-04-2026), and its use became mandatory July 1, 2026. Here is how our old flowchart compares with today’s rules.
| Old Flowchart | 2026 Rule |
|---|---|
| Option money delivered within 2 days | Earnest money and option fee both go to the escrow agent (title company) within 3 days after the Effective Date — Paragraph 5A |
| Agent representation set up loosely after the consultation | A written buyer agreement is required by law before the first showing (TRELA §1101.563) |
| Credit report pulled after the offer | Your lender reviews credit at pre-approval, before you shop |
| “Rejection” as a dead end | The Third Party Financing Addendum can let you terminate and recover earnest money if financing fails within the approval period |
| Agent pay assumed to come from the seller | Compensation is negotiable; a seller contribution toward your agent’s fee is written in Paragraph 12B |
| Not shown | Seller’s Water Disclosure, smart-device codes at possession, and Legal Holiday deadline rules |
Our 15-Step Texas Home Buying Process
In words: it starts with a consultation and the Information About Brokerage Services notice, then a signed buyer representation agreement before any showing, and a lender pre-approval (see what credit score you need). Once your offer is accepted, the earnest money and option fee are due within 3 days, your inspection happens during the Texas option period, and the lender orders the appraisal (VA buyers, see how a VA appraisal works in Killeen). Underwriting, the title commitment and survey, the Closing Disclosure, closing and funding follow — then you get the keys.
Wire fraud warning: Never wire closing funds based on emailed instructions alone. Call the title company at a number you already know to verify. Homevets agents will never send you wiring instructions.
Earnest Money vs. Option Fee in the Texas Home Buying Process
These two payments confuse more buyers than any other part of the Texas home buying process, so here is the difference in plain terms.
Option Fee
Usually a few hundred dollars. It buys the unrestricted right to terminate during the option period. The escrow agent may release it to the seller. It is credited to your price at closing, but it is not refunded if you walk away.
Earnest Money
Your good-faith deposit, often around 1% of the price in Central Texas. It stays with the escrow agent, is credited to you at closing, and is refunded if you terminate on time under a contract right such as the option period or financing.
How Long the Texas Home Buying Process Takes Near Fort Hood
The Texas home buying process is faster than most buyers expect. Pre-approval takes a few days. Finding the right home takes as long as it takes. From the Effective Date, a conventional or VA loan typically closes in 30 to 45 days, and cash purchases can close in two weeks. A PCS move compresses everything, which is why we build your calendar backward from your report date. Our complete PCS guide to Fort Hood covers that timeline in detail.
Costs to Plan For
- Earnest money and option fee — due within 3 days, both credited at closing.
- Inspection — paid to the inspector during the option period.
- Appraisal and loan fees — Paragraph 12A lists the buyer’s customary expenses.
- Insurance and prepaid taxes — see homeowners insurance in Killeen and check Killeen flood zones.
- Closing costs — VA buyers should read VA loan closing costs, and run numbers on our mortgage calculator.
Knowing these numbers early keeps the Texas home buying process free of surprises. Eligible military members, veterans, first responders, healthcare workers and teachers can also earn a rebate at closing through the Homes for Heroes program, on top of any VA benefit.
Start Your Texas Home Buying Process the Right Way
Talk with a licensed Homevets agent who has closed thousands of Fort Hood transactions. We will map your steps, deadlines and costs before you tour a single home.
Texas Home Buying Process FAQ
The Texas home buying process runs through consultation, a written buyer agreement, pre-approval, search, showings, the offer, an executed contract, earnest money and option fee within 3 days, the option period, loan processing, appraisal, underwriting, title and survey, closing and funding, and possession.
Under Paragraph 5A of the current TREC resale contract, both are due to the escrow agent within 3 days after the Effective Date. If the last day falls on a weekend or Legal Holiday, the deadline extends to the next business day.
No. The 3-day rule is for delivering the money. The option period itself is whatever number of days you and the seller negotiate, commonly 5 to 10, and termination notice is due by 5:00 p.m. local time on the last day.
Yes. Since January 1, 2026, Texas law requires a written agreement before an agent shows you residential property. It can be a full representation agreement or a limited non-representation showing agreement of no more than 14 days.
Most financed purchases close 30 to 45 days after the Effective Date. Cash buyers can often close in about two weeks. We schedule PCS buyers backward from their report date.
Often, yes. If the Third Party Financing Addendum includes a buyer approval period and you give notice of termination within it, your earnest money is generally refunded. Your agent tracks that date for you.
Sources and disclaimer: Deadlines reflect the TREC One to Four Family Residential Contract (Resale), TREC No. 20-19 and TREC’s guidance on 2026 buyer representation changes. This article is general information, not legal advice; TREC rules prohibit real estate license holders from giving legal advice, so consult a Texas attorney about your contract. Homevets Realty LLC, TREC #519202-BB, 2000 E Central Texas Expressway, Suite B, Killeen, TX 76541.