TX · Houston
Bridge, Flip & Construction
Loans in Houston, TX
Bridge, fix & flip, construction, renovation and DSCR loans for residential investment property in Houston, $1M to $5M, term sheet in 24 to 48 hours. For US investors and foreign nationals on the same terms.
Passy Capital finances real estate investors who build, buy and renovate residential investment property in Houston and Harris County: ground-up construction loans for spec homes, infill townhomes, build-to-rent communities and small multifamily up to 9 units, bridge loans for land, acquisitions and cash-out, and DSCR loans to hold the finished rentals. Fix & flip and renovation loans are also available. Loans run from $1M to $5M, with a term sheet in 24-48 hours and closing in about two weeks on a clean file.
Houston works differently from other large US cities. With no zoning ordinance, builders subdivide and rebuild inside the Loop and in the Heights under the city's Chapter 42 lot rules and whatever deed restrictions apply, while the suburbs supply new lots for spec homes and rental communities. Flood exposure and MUD taxes are part of every underwriting.
Investors based outside the US borrow on the same terms as Houston builders and operators. The loan is made to your US LLC and underwritten on the property, so no US credit history and no Social Security number are required. Business-purpose lending only, on non-owner-occupied property.
Houston Market Highlights
Build-to-Rent Pipeline
About 3,000 build-to-rent units under construction in Houston in May 2026 (RealPage).
No Zoning Ordinance
Land use is shaped by Chapter 42 lot rules and private deed restrictions rather than zoning, which opens up infill rebuild and townhome projects.
Flood Due Diligence
Floodplain status drives insurance, elevation and resale, and is checked on every Houston loan.
Thin Flip Margins
A 3.7% gross return on the typical Houston flip in ATTOM's Q2 2026 report, against 21.5% nationally.
Non-Judicial Foreclosure
Texas deeds of trust carry a power of sale, with first-Tuesday trustee sales after 21 days' notice.
Same Terms From Abroad
Foreign nationals borrow through a US LLC with no US credit history and no foreign-national premium.
Key Submarkets
The Heights
Montrose
Midtown
EaDo
Third Ward
Garden Oaks / Oak Forest
Spring Branch
Bellaire
Katy
Cypress
Pearland
Sugar Land
Property Types We Finance
Spec Homes
Build-to-Rent
Infill Townhomes
Single-Family
2-4 Units
Small Multifamily (5-9)
SFR Portfolios
Renovation Projects
Loan Programs
Bridge Loans
Buy, refinance or cash out an investment property, closing in about two weeks.
Construction
Ground-up spec homes and build-to-rent, with draws tied to milestones.
Renovation / Rehab
Rehab financing on 1-4 unit and small multifamily, drawn against completed work.
Fix & Flip
Purchase and rehab in one loan for 1-4 unit flips, closing in about two weeks.
DSCR / Rental
Long-term rental financing based on property cash flow.
How we finance Houston deals
- Spec and build-to-rent in the suburbs. Ground-up construction up to 85% of cost in Katy, Cypress, Pearland and the other growth areas, for spec homes and rental communities of houses, duplexes and townhomes. RealPage counted about 3,000 build-to-rent units under construction in Houston in May 2026. Many of these subdivisions sit inside a municipal utility district with its own tax, and a DSCR loan up to 80% of value holds the finished rentals.
- Infill townhomes with no zoning, but rules that still shape the plan. Houston has no zoning ordinance. What controls an infill project is Chapter 42 of the city code (minimum lot sizes, setbacks, platting) and private deed restrictions, which in many neighborhoods limit use to single-family. We review both before we size a townhome or rebuild.
- Flood zone is part of the underwriting. Whether the lot sits in a mapped floodplain drives flood insurance cost, construction elevation requirements and resale. We check it on every Houston file and size the carry with the insurance in it.
- Land, acquisition and cash-out bridge. Bridge loans up to 80% of value to buy lots or land in Harris County and the surrounding counties while plans, permits and utilities are finished, to close an acquisition that has to move fast, or to take cash out of land or a finished project until it sells or moves to DSCR.
- Flips, where the spread is clear. Purchase and renovation in one loan, up to 90% of cost. The typical Houston flip earned a 3.7% gross return in ATTOM's Q2 2026 report, against 21.5% nationally, so we size a flip on recent MLS sold comps (Texas is a non-disclosure state) and need a clear spread over all-in cost.
See all Texas markets on our Texas page, or what we fund.
Investing in Houston from outside the US
If you are buying in Houston from outside the United States, financing is usually where the process stalls: no Social Security number, no US credit history, and no retail bank willing to underwrite a foreigner. We lend to your US LLC instead, underwrite the property rather than a US profile you have no way to build, and charge no foreign-national premium for it.
Frequently asked questions
What do you finance in Houston?
Mainly ground-up construction for spec homes, infill townhomes, build-to-rent and small multifamily up to 9 units, bridge loans for land, acquisitions and cash-out, and DSCR loans for the hold. Fix & flip and renovation loans are also available. Loans run from $1M to $5M.
Do you provide development finance in Houston?
For residential development, yes: spec homes, infill townhomes, build-to-rent communities and small multifamily up to 9 units, with a construction loan up to 85% of total cost, land included, from $1M to $5M. Land with entitlements is financed at reduced leverage when it is part of the build, and a bridge loan up to 80% of value can carry land while plans and permits are finished. Commercial development, and apartment projects of 10 units or more, are placed through our capital-partner network.
Does Houston's lack of zoning change how a construction loan is underwritten?
It changes what we check. Instead of a zoning letter, we look at the plat and the Chapter 42 lot requirements, any deed restrictions on the lot, the permits, and the floodplain status. Construction is financed up to 85% of cost with draws released as work is inspected.
Do you finance build-to-rent in the Houston suburbs?
Yes. A construction loan up to 85% of cost funds the build and a DSCR loan up to 80% of value refinances the homes once leased. MUD tax, flood insurance and the reassessed property tax all go into the DSCR test before the first draw.
Can a foreign national finance a Houston build or rental?
Yes. The loan is made to your US LLC and underwritten on the property and the business plan, so a non-resident borrows on the same terms as a US investor, with no US credit history and no Social Security number required. You do not need to travel to the US to close.
How fast can a Houston loan close?
Term sheets go out within 24-48 hours, and a clean file closes in about two weeks. The fee is 1-2% of the loan, paid at closing, with no upfront fees.
Learn More
How does a construction loan work for a Texas spec home?
Up to 85% of cost, draws after inspection, and the Texas rules to budget for.
Construction Loans: How to Finance Your Next Development Project
Draw schedules, typical structure and what a lender needs to fund a ground-up build.
Can I Refinance a Bridge Loan Into a DSCR Loan?
How a finished build or renovation moves from short-term financing to a long-term rental loan.
Can a Mexican Citizen Finance US Investment Property?
The US LLC structure, the documents, and how the loan is underwritten without US credit.
More answers in investor questions, answered and the glossary of lending terms.
Other Cities in Texas
We also finance investors across other Texas markets.
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