Texas · Small Multifamily
Texas small multifamily financing, 5 to 9 units.
Bridge, renovation and ground-up financing for fully residential buildings of five to nine units, with a DSCR refinance as the hold. $1M to $5M, term sheets in 24 to 48 hours, for US investors and investors based abroad on the same terms.
By David Hodara · ·
5-9
Units
$1M-$5M
Loan range
24-48h
Term sheet
~2 weeks
Clean-file close
Texas small multifamily (5-9 units) market context
Five to nine units is in our in-house box. Texas files at this size are usually an older building bought with a renovation budget, a bridge through re-leasing, or a new infill building, each refinanced into DSCR once the rent roll is in place. Bridge goes to 80% LTV, renovation to 90% of total cost, ground-up to 85% of cost and the DSCR exit to 80% LTV. Buildings of ten units and more are placed through our capital-partner network.
Property tax is the Texas line that decides the DSCR: reappraisal as often as every year, no homestead exemption on investment property, and an assessment that usually moves toward the purchase price. Texas has no transfer tax and is a non-judicial foreclosure state.
Non-US investors borrow on the same terms through a US LLC, with no US credit history required.
Typical loan products for Texas small multifamily (5-9 units)
Each deal gets routed to the product structure that fits. Most small multifamily (5-9 units) deals in Texas use one of the following.
Bridge loans
Purchase, refinance or cash-out on residential investment property, interest-only, up to 80% LTV. Underwritten on the property and the exit rather than on tax returns.
Renovation loans
Value-add on a property you plan to keep: purchase and renovation budget in one facility, up to 90% of total cost, then a refinance once it rents.
Construction loans
Ground-up financing for spec houses, small residential buildings and build-to-rent, up to 85% of cost, interest only on the drawn balance, draws against inspected work.
DSCR loans
The hold or the exit: long-term financing qualified on the property's rent rather than personal income, up to 80% LTV.
Buying Texas small multifamily (5-9 units) from outside the US
We finance small multifamily (5-9 units) in Texas for investors based outside the United States as readily as for US borrowers. The loan is made to a US LLC rather than to an individual, which keeps it business-purpose, and the underwriting looks at the property rather than at a US credit profile a non-resident has no way to build.
That means no US credit history, no US income documents, no foreign-national rate premium, and no requirement to travel to the United States to close. If you do not yet have the entity, forming one is a step in the process rather than a prerequisite you have to solve alone.
Top Texas markets we actively fund
We work small multifamily (5-9 units) deals across Texas, with deepest lender relationships in the metros below.
Texas small multifamily (5-9 units) FAQ
Do you finance 10+ unit apartment buildings in Texas?
Not in-house. Buildings of ten units and more are placed through our capital-partner network. What we fund directly is residential property of one to nine units.
What leverage applies on a 5-9 unit Texas building?
Bridge up to 80% LTV, renovation up to 90% of total cost, ground-up up to 85% of cost, and the DSCR refinance up to 80% LTV.
What does the financing cost upfront?
Nothing. There are no upfront fees. Our fee is 1 to 2% of the loan, paid at closing, and the rate is set on the term sheet by leverage, the business plan and the sponsor's completed projects.
Can a foreign national finance small multifamily (5-9 units) in Texas?
Yes. We lend to a US LLC rather than to an individual, and we underwrite the property rather than a US credit profile, so a non-resident with no US credit history and no US income documents borrows on the same terms a US investor receives. You do not have to travel to the United States to close.
Got a Texas small multifamily (5-9 units) deal? Send it over.
Term sheet inside 48 hours, or a fast no so you can move on. Business-purpose investment property financing only.