Texas DSCR Loans for Real Estate Investors: No Tax Returns Needed
Real estate investors across the Lone Star State are using Texas DSCR loans for investment properties to grow their portfolios—without the headache of proving personal income.
Whether you’re buying in Dallas, Houston, Austin, or San Antonio, DSCR loans give you the freedom to qualify based on property cash flow.
What Is a DSCR Loan?
DSCR stands for Debt Service Coverage Ratio. These loans let investors qualify using rental income alone.
If your property's rent covers the mortgage, you may not need to provide tax returns, pay stubs, or employment documents.
It’s the easiest way to scale your portfolio in Texas.
Why Texas Is a DSCR Hotspot
No state income tax
Booming rental demand in major cities
Business-friendly laws
High appreciation potential and strong rent-to-price ratios
Common DSCR Loan Terms in Texas
DSCR requirement: 1.0 or higher
Credit score: 620+
Down payment: 20–25%
Property types: 1–4 unit rentals
LLC ownership allowed
No personal income docs required
Best Texas Cities for DSCR Investors
Houston: Strong demand for long-term and corporate rentals
Dallas-Fort Worth: Diverse economy and steady appreciation
Austin: Tech-driven, with high rental rates
San Antonio: Military and healthcare jobs drive rental needs
Who Should Use DSCR Loans in Texas?
Self-employed investors
First-time rental property buyers
Investors growing short- or long-term portfolios
Buyers using LLCs or other entities
