Here’s a simple example using an image as a texture. I took the images right off the website but they worked fine.
First, you have to find a suitable image that you think might work with a texture and a texture image. I chose my shot of Eakin Creek Road for the main image and Derek’s shot of Arthur’s Shed for the texture. I rather like the result!
The Main image is on the left, the Texture image on the right.
After you have selected your images, you open them both in Photoshop Elements.
When both are open, you go to the Arrange Icon, next to the Help tab, and choose the side by side icon. This puts the images on your screen side by side so you can see them both.
Now select the Move Tool (it’s the first tool on the tool bar …. an arrow and small crossed arrows). Place the Move Tool on the texture image and click then drag and drop that image over top of the main image (sometimes it doesn’t work the first time; if it doesn’t just try it again).
The texture image should be sitting over top of the main image. The texture image will have a bounding box around it (if it doesn’t have a bounding box around it go to the Image tab, select Transform and then Free Transform or use Ctrl +T on your keyboard).
Using your mouse, click and drag the texture image out to fit the size of the main image by pulling on the little square boxes on each side of the texture image.
Now go to the layers palette, make sure the texture layer is selected, and then change the Blending Mode, from Normal to Overlay, by selecting Overlay from the drop down menu at the top left on the Layers palette (if your Layers palette isn’t visible, go to the Window tab and choose it from the drop down menu).
Next click on the little arrow to the right of Opacity in the Layers palette. This will give you a slider with which you can adjust the opacity to taste.