Self Employed Home Loans
LONE STAR FINANCING

TEXAS DSCR Loans

No Income Verification Loans

What is a Texas DSCR Loan?

To understand Texas DSCR loans, it’s helpful to start with the basics of the debt service coverage ratio (DSCR). DSCR is a measure of whether the rental income from a property can cover its annual debt payments. A DSCR of 1.0 or higher means the property earns enough income to meet its debt obligations. So, when you apply for a DSCR loan, your DSCR will significantly impact your loan eligibility and the rates and terms you can secure.

Use a DSCR calculator to determine what your DSCR is and if you qualify for an investment property loan in Texas.

Texas DSCR Home Loans: 

  • Up to $3,000,00 Loan Amount (85% LTV) 
  • Up to $1,000,000 Cash Out (75% LTV) 
  • No Employment – Income Verification 
  • Use Rental Income to Qualify 
  • Ideal for Real Estate Investors
  • Flexible Ownership Structure

     

Texas DSCR home loans

If you’re self-employed, a Non-QM DSCR loan might be a suitable option for you. Designed to offer flexibility for unique income scenarios—such as those of entrepreneurs, independent business owners, and contractors—these loans can accommodate your financial situation.

DSCR Loans

Up to $3,000,000

Qualification Guidelines: 

Minimum FICO Credit Score

620

Minimum Down Payment

15%

Maximum Loan To Value

85%*

Mortgage Insurance

NO

Days Since Foreclosure

1

Days Since Short Sale

1

Special Qualification Requirements

NONE

TX Lender for DSCR Loans

Close on Time

In-house underwriting and processing to close loans fast - Our goal is to close every loan in 21 days or less.

Low Rates

Low rates for non-QM DSCR loans in Texas - Low rates with flexible terms and fast closings.

Service

Local Texas customer service for DSCR home loans in Texas - Just see what our customers are saying!

Non QM Mortgage Texas
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Why Choose Us? It's our People!
Austin, TX Loan Officer

Shawn Dulac

Sr. Loan Officer
NMLS #1320463

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James Hair

Sr. Loan Officer
NMLS #1680348

Ricardo Trejo - Lakeway, TX

Ricardo Trejo

Branch Manager
NMLS #347481

Eden Vick - TX Lender

Eden Vick

Sr. Loan Officer
NMLS #490185

Roman Balley - Lone Star Financing

Roman Balley

Production Manager
NMLS #2267211

Read Our Reviews...

Rebeka L
Rebeka L
Heartland, TX
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Brenda was quick to respond to questions I had and made herself available to me. She was very patient and understanding when having to resolve issues regarding my ex. The entire team, in fact, was great and a true godsend!
Michael Underwood
Michael Underwood
Austin, TX
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As a realtor here in Austin, TX, I’ve been working with Lone Star Financing for almost a decade. The loan officers at Lone Star financing are without a doubt the best communicators in the business. They provide timely updates to me and my buyers from the start of the loan to close of sale and I can't tell you how important that is during a real estate transaction. I recommend all of my clients use Lone Star financing because unlike a lot of mortgage companies they can close loans on time. During one of the most critical times of my customers lives, it's imperative that all links of the chain are strong. Having the right lender in place is key. Thanks Lone Star!
Jordan Rodriquez
Jordan Rodriquez
Bastrop, TX
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I was thoroughly impressed with the customer service from start to finish. I had a lot of questions and they were all answered. I recommend lone star to first time home buyers as well as those who have note done it before.
Veronica M.
Veronica M.
Camey, TX
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Making me feel comfortable through the entire process as I was a bit nervous but Keith’s ways with his words and staying professional never made me feel overwhelmed, as well as the staff members that also helped me. The whole process was a smooth ride with no bumps and that was a great feeling making this single mother very happy with the outcome!!! Thanks!!!
Scott Kruse
Scott Kruse
San Marcos, TX
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I have gone through the home financing five times, and this is my second re-finance. The team at Lone Star Financing was the best experience I've ever had going through the mortgage process. The previous finance company I used to purchase my home was the worst experience I'd ever had in getting a mortgage. I was extremely hesitant to go through the re-finance process, but with the interest rates being so low I knew I would be saving a lot of money. I did the research to find a highly reviewed local financing company, and Lone Star Financing was the best. They did an outstanding job helping me through the process, made it incredibly easy and quick. More...
David, Y
David, Y
San Antonio, TX
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Thanks for helping us through the loan refinance process. P.S. The only reason we can't refer family and friends is we don't live in Texas or have any contacts there!
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DSCR Home Loans

Things to know about Non-QM DSCR Loans in Texas

A DSCR (Debt Service Coverage Ratio) home loan is a type of mortgage where lenders assess whether the rental income from a property can cover its debt payments. Instead of focusing on personal income, lenders look at the property’s cash flow to determine if it generates enough income to pay the loan, making it ideal for Texas real estate investors.

Good candidates for a DSCR loan are typically real estate investors who want to qualify for a mortgage based on the income generated by the property rather than their personal income. This includes:

  1. Investors with high cash-flow properties: Texas properties that generate steady rental income.

  2. Self-employed individuals: Business owners who may find it challenging to qualify for traditional loans based on personal income.

  3. Multiple property owners: Investors looking to expand their portfolio without affecting their personal debt-to-income ratio.

  4. Limited documentation applicants: Borrowers who prefer simplified requirements, as DSCR loans usually don’t require extensive income documentation.


Our DSCR loans in Texas especially appealing to investors seeking financing based on a property’s performance rather than their individual financial background.

A DSCR loan works by assessing whether a property’s rental income can cover its debt payments. Instead of looking at the borrower’s personal income, lenders calculate the debt service coverage ratio (DSCR) to see if the property generates enough income to cover the mortgage. If the DSCR meets the lender’s requirements (usually 1.0 or higher), the borrower may qualify for the loan based on the property’s cash flow.

Non-QM DSCR loans are ideal for homebuyers in Texas who don’t have traditional income proof required for a conventional loan in Texas, which adheres to strict federal guidelines. These loans use alternative income verification methods to help more people qualify for a mortgage. Features like longer loan terms and interest-only payments can also aid in qualification. Remember, terms vary by lender, so it’s important to review your specific agreement carefully.