El Paso’s housing market is quietly outperforming the rest of Texas. While Austin and Dallas grapple with 8 % price corrections, El Paso median sale prices rose 6.4 % year-over-year, driven by limited land inside the Franklin Mountains and a steady stream of relocated manufacturing jobs from Mexico. New listings under $300,000 spend an average of 18 days on market—half the state average—so pre-approval is critical.

Key stats to shop smart:

• Median list-to-close ratio: 98 % (sellers rarely negotiate more than 2 %)
• Share of new construction: 38 %, up from 22 % in 2020—builders offering rate-buydowns up to 3-2-1 structures
• Cash offers: 19 %, many from military investors using VA second-tier entitlement

If you’re targeting older homes in Ysleta or San Elizario, budget for post-pandemic polybutylene plumbing replacements—NMHL’s RenovationReady loan bundles purchase and up to $75,000 in repairs at one fixed rate, sidestepping the higher interest of a second lien.

West Side / Kern Place: Walkable to UTEP, hospitals, and the Cincinnati Entertainment District. Median price $315,000, mostly 1930s-1950s brick bungalows. Expect multiple offers; NMHL’s 21-day close guarantee gives veterans an edge.

Eastlake / Far East: Master-planned subdivisions with HEB Plus, top-rated Socorro ISD schools, and quick access to Loop 375. Median $240,000, HOA dues $250-350. USDA eligible east of Kenworthy—zero-down territory.

Downtown / Union Plaza lofts: Perfect for remote workers who want walkability to the plaza theaters and the Trolley. Prices from $180 k for 1-bed lofts, but parking is leased separately. FHA spot approvals available in most buildings—NMHL maintains an updated approval list so you won’t waste time.

Horizon City: 20 minutes east of downtown, but you’ll find 2,000-sq-ft new builds under $230,000. Property taxes are 0.3 % lower than city limits, and NMHL’s Horizon Zero program covers the 3 % down payment on conventionals for teachers, nurses, and first responders.

El Paso County’s average effective tax rate is 2.23 %, ranking among the highest in the nation—but the actual bite is smaller thanks to generous exemptions. On a $235,000 home your annual tax bill would be roughly $5,235 before exemptions. Apply these to reduce the taxable value:

• General homestead: $15,000 off value (about $335 savings)
• Over-65 or disabled: additional $10,000 plus tax freeze
• Texas Veteran exemption: up to $12,000 depending on disability rating—can drop bill below $4,000

Because Texas has no state income tax, mortgage lenders in El Paso use a higher residual-income test rather than the typical debt-to-income ratio you see in other states. NMHL underwriters are trained to maximize the benefit so a family earning $75,000 can qualify for a $300,000 VA loan even with a 48 % back-end DTI.

Texas widens the path to ownership more than most states. Combine these layers and your cash-to-close can drop to under $1,000:

1. TSAHC Home Sweet Texas: 30-year fixed at 0.5 % below market, plus $15,000 down-payment grant. Income limit $66,950 (El Paso MSA). NMHL is a participating TSAHC lender and can lock the rate for 90 days while you shop.

2. El Paso First Time Homebuyer Program: Deferred second mortgage up to $50,000 at 0 % if household income is under 80 % AMI. No monthly payments; loan is due on sale, refinance, or 30 years. Can be combined with FHA or VA.

3. Mortgage Credit Certificate (MCC): Converts 40 % of annual mortgage interest into a federal tax credit—worth about $2,400/year on a $200,000 loan. NMHL files the IRS Form 8396 for you every January so you see the savings immediately in your paycheck via revised W-4.

4. NMHL Gift-Plus: We allow 100 % of closing costs to come from gifts from family, unions, even employers—no donor seasoning required. Pair with the programs above and many buyers bring only their earnest-money deposit ($500) to close.

Fort Bliss hosts 38,000 active-duty and civilian employees, making El Paso one of the nation’s top 10 VA purchase markets. Yet 1 in 3 eligible buyers still uses FHA because they think VA appraisals are tougher. In reality, El Paso VA appraisers understand the desert terrain and routinely value homes with evaporative coolers and xeriscaping—no adjustment needed.

• Zero down up to $766,550 in 2024 (no cap with full entitlement)
• Funding fee drops to 1.25 % with 10 % disability; NMHL fast-tracks disability paperwork with the El Paso VA regional office
• Surviving spouses can reuse entitlement—NMHL’s Heroine Home program waives the lender underwriting fee ($1,195 value)

If you’re stationed at Biggs Army Airfield or retiring here, ask about NMHL’s PCS Protection—our rate-lock extension covers transfer delays up to 120 days, and we’ll reimburse storage costs if closing is pushed past report date.

El Paso’s average VantageScore is 672—below the statewide 692—thanks to medical collections from cross-border providers and thin credit files among young bilingual households. NMHL turns those statistics into approvals:

Step 1: Rapid Rescore: We pay down credit cards to 29 % utilization using our escrowed rapid-rescore line—scores jump 20-40 points in 5 business days, not 30.

Step 2: Non-Traditional Credit: Rent history from El Paso’s largest property managers (Greystar, RK) can substitute for revolving credit. We need only 12 months of on-time housing payments verified through bank statements.

Step 3: Portfolio Flex: For borrowers with 1-year-old Chapter 13 or recent foreclosure, our portfolio product allows 20 % down and 660 score, debt-to-income up to 50 %. Rate is fixed for 5 years then converts to LIBOR + 3 % cap; perfect for investors rebuilding credit who still want to own in thriving rental ZIPs 79938 and 79928.

Most clients graduate to a refinance into a lower-rate conventional within 18-24 months—NMHL waives the lender fee on the refi as part of the Second-Chance pledge.