Fort Worth has grown into one of the largest cities in Texas, with new master-planned communities to the north and west and a dense rental market around TCU and the Near Southside. Large rental loans here meet the same obstacle as elsewhere in Texas: a property tax bill with no homestead relief.
In short: LendingStreet offers jumbo DSCR loans of about $1.5M to $5M+ in the Fort Worth area, qualified on rent with no W-2s or tax returns. Large files here include 5 to 8 unit buildings near TCU and the Near Southside, executive homes in Southlake, Colleyville and Aledo and portfolios across Tarrant County. Texas property taxes, MUD assessments in newer subdivisions and Fort Worth's limits on short-term rentals in single-family zoning are the local items to check.
Around TCU, Bluebonnet Hills, Berkeley Place and the Near Southside have older homes and small apartment buildings that lease to students, medical district staff and young professionals. Fairmount and Ryan Place add historic homes, and Arlington Heights sits close to the Cultural District.
Southlake, Colleyville and Keller in northeast Tarrant County have large executive homes, and Aledo and the Walsh community west of the city add newer upscale subdivisions. North Fort Worth near Alliance has rapid growth and many newer homes.
| Property | Areas | Check |
|---|---|---|
| 5 to 8 unit building | Near TCU, Near Southside, Fairmount | Tax bill, parking, student lease cycles |
| Executive home | Southlake, Colleyville, Keller, Aledo | School district taxes, HOA leasing rules |
| New-build portfolio | North Fort Worth near Alliance, Walsh | MUD or PID line on each tax bill |
A jumbo DSCR loan is a debt service coverage ratio loan with a larger balance, roughly $1.5M to $5M+ at LendingStreet. It covers purchases, rate-and-term refinances and cash-out refinances on 1 to 8 unit rentals held for investment.
Qualification rests on the property's rent compared with the full monthly payment, not on W-2s or tax returns. The standard minimum DSCR is 1.0x, the minimum credit score is 620, LLC borrowers are standard and 30-year terms are available. Purchases go up to 80% LTV and cash-out up to 75% LTV, but on bigger balances the maximum is often lower and varies by program.
Texas has no state income tax and relies on property taxes. A Fort Worth rental can be taxed by the city, Tarrant County, a school district, the hospital district, Tarrant County College and, in many newer subdivisions, a municipal utility district or public improvement district. The Tarrant Appraisal District sets values.
Homestead exemptions and the homestead appraisal cap only apply to a primary residence. Budget on full value at the full combined rate. Texas has no real estate transfer tax.
This example is illustrative and not a quote. Consider a 5 to 8 unit building. An investor buys an eight-unit building near TCU for $2,100,000, with two-bedroom units leased to students and young professionals. Rent totals $17,600 a month, with taxes estimated at $3,900 a month and insurance at $900.
Borrowing $1,575,000, which is 75% LTV, gives estimated principal and interest near $10,878 and a full payment near $15,678: a DSCR of about 1.12x. Borrowing $1,365,000 at 65% LTV gives estimated principal and interest near $9,428, a payment near $14,228 and a DSCR of about 1.24x.
Property taxes are close to a quarter of the payment here, which is typical for Texas. Coverage improves with a smaller loan.
| Item | 75% LTV | 65% LTV |
|---|---|---|
| Loan amount | $1,575,000 | $1,365,000 |
| Estimated principal and interest | $10,878 | $9,428 |
| Property taxes | $3,900 | $3,900 |
| Insurance | $900 | $900 |
| Total monthly payment | $15,678 | $14,228 |
| Monthly rent | $17,600 | $17,600 |
| DSCR | About 1.12x | About 1.24x |
North Texas is one of the most hail-prone regions in the country, and insurers have raised premiums and wind and hail deductibles. Some properties near the Trinity River and its forks are in flood zones. Older multi-unit buildings near TCU may have original plumbing or electrical that raises the quote, so ask for update records along with the roof details.
Fort Worth has historically limited short-term rentals in one-family zoning districts, and enforcement and proposed changes have drawn attention. Confirm current rules before counting on nightly income. Suburbs and HOAs have their own rules.
Most jumbo files here run on 12-month leases. Executive homes in Southlake and Colleyville often lease to relocating corporate families, and leases near TCU follow the academic year, so bring signed leases for the coming year where you have them.
Fort Worth has true jumbo-value homes, especially in northeast Tarrant County, but Texas taxes often limit leverage on single homes. Small buildings often pencil better.
Underwriting tightens as the loan grows. Reserves are typically higher, appraisals are reviewed more closely and a second valuation may be required on some programs. At the top end, few nearby sales and leases match the subject property, so documentation of rent matters.
If coverage falls short, you can bring more cash, resize the loan or look at a sub-1.0 DSCR program.
For refinances, the same rules apply with a few changes: cash-out is capped at 75% LTV and frequently set lower for big balances, rate-and-term goes to 80% LTV on some programs, and the ownership period required before cash-out varies by program.
Gather these before you ask for terms; a complete package gets a faster answer.
Our investor loans are business-purpose loans on non-owner-occupied property. See our Texas jumbo DSCR page for statewide context.
Send the address, price or estimated value, current or projected rent and the leverage you want. The LendingStreet team will run the ratio on realistic taxes and insurance, test it at a few loan sizes and come back with options. You can also call (877) 298-1001 or use the form below.
A municipal utility district funds water, sewer and road infrastructure in many newer subdivisions around Fort Worth. Its tax is part of the property tax bill, so it counts in the payment and lowers the ratio.
Our jumbo DSCR loans run from about $1.5M to $5M+. DSCR programs have no stated maximum, but larger balances are reviewed case by case and usually carry lower maximum LTV and higher reserves.
Fort Worth has historically limited STRs in one-family zoning. Confirm current rules.
No. The loan is qualified on the rental's cash flow, not your W-2s or tax returns. Credit (620 minimum), reserves and the source of your down payment are still reviewed.
Investors do not get homestead exemptions or the appraisal cap.
Yes, LLC ownership is standard on DSCR loans. Have the entity documents ready, and plan to sign for the loan personally.
No. Our investor loans are business-purpose loans on non-owner-occupied property held as rentals.
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