Fort Cavazos BAH Calculator 2026: What Can Your BAH Buy in Killeen?

Fort Cavazos BAH Calculator 2026: What Can Your BAH Buy in Killeen?

Written by: , REALTOR
Reviewed by: Mayra Torres, President & Managing Broker, TREC Broker
Updated on

Fort Cavazos BAH & VA Loan Buying Power Calculator

See what your Killeen BAH supports with a VA $0-down loan, and whether it covers the full
monthly payment with cushion. Fort Cavazos (formerly Fort Hood) is the primary installation in the Killeen MHA.





Your 2026 Fort Cavazos BAH (MHA TX286)
$1,695 /mo, tax-free

Estimate only. Based on 2026 Fort Cavazos (TX286) BAH and typical Bell County property tax
(~2.0%) and insurance (~0.81%). VA funding fee, exemptions, HOA, and your lender’s terms will affect actuals.
BAH rates: DTMO, effective Jan 1 2026.

Honest note: BAH is tied to your duty station. If you PCS, your BAH changes but your
mortgage payment stays the same. Buy at a price your pay supports even if BAH drops, not the absolute
max. This estimate is education, not a pre-approval or a loan offer.
Talk to a VA Loan Specialist →
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How It Works

How the Fort Cavazos BAH calculator estimates your buying power

The calculator takes your 2026 Fort Cavazos BAH rate (MHA TX286, effective January 1 2026) and runs it through the same math a VA lender uses: $0 down, 30-year fixed rate, Bell County property tax at 2.0%, and homeowners insurance at 0.81%. It shows the maximum home price your BAH alone supports and whether the full PITI payment fits inside your BAH with room left over.

The conservative target price is 90% of the theoretical maximum. This cushion matters because BAH is tied to your duty station. If you PCS, your BAH changes but your mortgage stays the same. Buying below the max means your base pay can cover the difference if BAH drops.

2026 BAH Rates

2026 Fort Cavazos BAH rates by pay grade (MHA TX286)

All four Fort Cavazos (Lackland AFB, Fort Sam Houston, Randolph AFB, and Camp Bullis) fall under the same Military Housing Area code TX286. These rates are from the Defense Travel Management Office (DTMO), effective January 1 2026.

Enlisted (E-1 through E-9)
E-1 to E-4$1,662/mo with dependents, $1,374 without
E-5$1,695 with, $1,530 without
E-6$1,920 with, $1,626 without
E-7$2,070 with, $1,668 without
E-8$2,238 with, $1,746 without
E-9$2,409 with, $1,806 without
Warrant Officers (W-1 through W-5)
W-1$1,938 with, $1,665 without
W-2$2,139 with, $1,743 without
W-3$2,346 with, $1,812 without
W-4$2,433 with, $1,950 without
W-5$2,544 with, $2,109 without
Officers (O-1 through O-7)
O-1$1,731 with, $1,623 without
O-2$1,917 with, $1,689 without
O-3$2,340 with, $1,833 without
O-4$2,577 with, $2,076 without
O-5$2,748 with, $2,169 without
O-6$2,769 with, $2,325 without
O-7$2,787 with, $2,361 without
VA Disability Exemption

Why the disability exemption changes your buying power

Veterans with a VA disability rating of 10% or higher are exempt from the VA funding fee. On a $250,000 home with $0 down, that saves $5,375 at closing (2.15% first-use fee). When the fee is rolled into the loan, exemption also reduces the monthly payment because your financed amount is lower. Use the toggle above to see the difference.

Surviving spouses of Veterans who died in service or from a service-connected disability are also exempt. Purple Heart recipients on active duty are exempt as well. If you qualify, bring your VA disability rating letter or Certificate of Eligibility showing the exemption when you apply.

BAH + VA Loan

How BAH works with a VA loan in Killeen

BAH is tax-free income. When a VA lender qualifies you, they gross up your BAH by 25% to create an equivalent taxable income figure. An E-5 with dependents receiving $1,695/mo in BAH is treated as having $2,119/mo in qualifying income from that source alone, before base pay is added.

The VA does not set a maximum loan amount for eligible borrowers with full entitlement. In Killeen, the 2026 conforming limit is $832,750, and most homes fall well below that. The practical limit is what your total income supports at the VA’s residual income standard, not a hard dollar cap.

Bell County property tax runs about 2.0% of assessed value in Bell County, higher than the national average. Homeowners insurance averages around 0.81%. These two costs add roughly $500 to $600/mo on a typical Killeen-area home and are the reason a national BAH calculator overstates buying power here.

Related Tools & Guides

More for Fort Cavazos Military homebuyers

Frequently asked questions

What is MHA TX286?
MHA TX286 is the Military Housing Area code for the Killeen-Temple-Fort Cavazos area in Central Texas. Fort Cavazos (formerly Fort Hood) is the primary installation in this MHA. All Service Members stationed at Fort Cavazos receive the same BAH rate for their pay grade and dependency status.
Does BAH cover a mortgage in Killeen?
For most pay grades E-5 and above with dependents, BAH covers the full PITI payment on a conservatively priced Killeen-area home with a VA $0-down loan. Lower enlisted grades without dependents may need to supplement BAH with base pay. The calculator above shows the exact numbers for your grade.
Is BAH counted as income for a VA loan?
Yes. BAH is tax-free, so lenders gross it up by 25% when calculating your qualifying income. An E-5 with $1,695/mo BAH is treated as having $2,119/mo in equivalent taxable income from that source. This gross-up increases your total qualifying income and the home price you can support.
What happens to my mortgage if I PCS from JBSA?
Your mortgage payment stays the same regardless of where you move. Your BAH changes to match your new duty station’s rate. If your new station has a lower BAH, you cover the difference from base pay. This is why the calculator uses a conservative target price (90% of max) rather than the absolute ceiling.
What is the VA funding fee and who is exempt?
The VA funding fee is a one-time charge (2.15% for first-use, $0-down loans) that can be rolled into the loan. Veterans with a VA disability rating of 10% or higher are exempt, as are surviving spouses receiving DIC and Purple Heart recipients on active duty. Use the disability toggle in the calculator to see how exemption changes your buying power.
Are the BAH rates in this calculator official?
Yes. The rates are from the Defense Travel Management Office (DTMO) 2026 BAH tables for MHA TX286 (Killeen), effective January 1 2026. The DTMO publishes new rates annually each December for the following year.