A veteran in Texas is purchasing a home with a VA loan. The property is located in a designated flood zone. Under VA and Texas requirements, which of the following is TRUE?
Correct Answer
B) The veteran must obtain flood insurance as required by the National Flood Insurance Program, and the property must still meet VA minimum property requirements
Properties in designated flood zones require flood insurance under the National Flood Insurance Program (NFIP). This applies to VA loans as well. The property must also meet VA minimum property requirements. In Texas, the deed of trust secures the property regardless of flood zone designation.
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