STR / Airbnb DSCR Loans in Austin, Texas
Austin is one of the most distinctive STR markets in the US - high demand driven by SXSW, F1 Circuit of the Americas, ACL Festival, and UT football combined with a complex regulatory environment. STR rules differ sharply by neighborhood: Type 1 (owner-occupied) STRs are widely allowed; Type 2 (non-owner-occupied) faces density caps and zoning restrictions. Recent court rulings have relaxed some restrictions but the regulatory environment remains tighter than typical Texas markets. The reward for navigating regulation: peak event-period ADRs that can exceed $500-1,000/night.
Top Austin neighborhoods and submarkets
- East Austin (78702, 78721): Walkable to downtown; event-period premium pricing; Type 2 zoning verification critical.
- South Lamar / Zilker (78704): Premier ACL and SXSW location; tight inventory; high ADR.
- Downtown / Rainey Street: Highest ADR but tightest zoning; mostly Type 1 owner-occupied.
- East Riverside: Affordable entry; growing investor activity; permit caps tighter recently.
- Mueller: Master-planned development; STR rules at HOA level often restrictive.
- Travis Heights (78704): High-end residential; event-period strong; verify zoning.
Austin quick facts
- •No state income tax
- •Austin Type 1 vs Type 2 STR distinction
- •SXSW, F1, ACL drive 3-4 peak event periods
- •Hotel occupancy tax 6% state + 9-11% local
- •Property tax 1.8-2.2% (high)
- •TX 21-day non-judicial foreclosure timeline
Active programs available in Austin
Non-QM Investor Loan
confirmed 6/2/2026Commercial mortgage program offering up to 90% CLTV for various property types including mixed-use, multi-family, and retail. Allows for flexible deal structuring including seller carrybacks and second liens.
DSCR Loan for Investment Properties
confirmed 6/4/2026A flexible Non-QM lending program offering specialized income calculations and structuring options for complex borrower scenarios.
DSCR Loan for Investment Properties
confirmed 5/21/2026A DSCR loan program for foreign national investors on 1-4 unit investment properties, offering up to 75% LTV and credit scores starting at 680.
DSCR Loan for Investment Properties
confirmed 5/20/2026DSCR investor loan for short-term rental properties, allowing up to 80% LTV for purchase and rate-term refinances with no limit on financed properties.
DSCR Loan for Investment Properties
confirmed 5/28/2026A flexible DSCR loan program for investment properties with no minimum DSCR requirement, allowing for negative cash flow and short-term rental income.
DSCR Loan for Investment Properties
confirmed 5/14/2026A non-QM DSCR program for investors, including first-time investors, that allows for negative cash flow properties and offers flexible qualification options like asset utilization.
DSCR Loan for Investment Properties
confirmed 5/11/2026A DSCR loan program for investment properties that allows for entity vesting, rural properties, and short-term rental income, with both fixed and ARM options available.
DSCR Loan for Investment Properties
confirmed 6/5/2026Debt Service Coverage Ratio loan program for investment properties based on property cash flow rather than personal income.
Asset-Qualifying Loan
confirmed 5/13/2026An asset-based loan program that allows borrowers to qualify by converting liquid assets into a usable income stream, eliminating the need for traditional income or employment documentation.
DSCR Loan for Investment Properties
confirmed 5/12/2026A 30-year fixed DSCR loan program for investment properties with flexible prepayment penalty options and LTVs up to 80%.
DSCR Loan for Investment Properties
confirmed 5/20/2026A 30 or 40-year fixed-term bridge loan for investment properties that requires a DSCR of at least 0.80. This program allows for up to 80% LTV and is available for single-family homes, 2-4 units, non-warrantable condos, and condotels.
Specialized Investor Loan Program
confirmed 5/10/2026A specialized financing program for senior care housing properties, offering 30-year fixed terms and up to 75% LTV for purchase and cash-out refinance transactions.
DSCR Loan for Investment Properties
confirmed 5/19/2026A DSCR-based loan program for short-term rental investors, allowing for purchase, rate and term, and cash-out refinances on 1-4 family properties and condos.
Specialized Investor Loan Program
confirmed 5/19/2026A 12-month financing program for experienced investors building ground-up residential projects, offering up to 90% of purchase price and 100% of construction costs.
Fix & Flip Loan for Investors
confirmed 5/28/2026A fix and flip loan for seasoned investors performing light rehab projects with fast, streamlined approvals.
Specialized Investor Loan Program
confirmed 5/18/2026A 20-year fixed standalone second lien mortgage for primary residences, offering up to 70% CLTV.
Fix & Flip Loan for Investors
confirmed 5/11/2026Short-term financing for stalled construction or renovation projects, offering interest-only payments and up to 90% of cost for refinances.
Foreign National Investment Loan
confirmed 5/20/2026A loan program for international buyers seeking U.S. real estate investment or second home opportunities without requiring a U.S. credit score.
Non-QM Investor Loan
confirmed 5/10/2026Financing for non-owner-occupied investment properties offering up to 90% CLTV, including options for seller carrybacks or second liens.
DSCR Loan for Investment Properties
confirmed 5/15/2026A flexible DSCR loan program for investment properties, offering options for no-ratio qualification, various prepayment penalty terms, and support for short-term rentals.
DSCR Loan for Investment Properties
confirmed 5/20/2026DSCR loan program for investment properties now available with a minimum DSCR ratio as low as 0.01.
Non-QM Investor Loan
confirmed 5/15/2026A Non-QM program featuring a simplified 4-question Streamline WVOE for income qualification, available for purchase, refinance, and investment properties.
DSCR Loan for Investment Properties
confirmed 5/15/2026A DSCR program for investment properties that allows for negative cash flow and offers interest-only payment structures to help qualify challenging deals.
ITIN Loan Program
confirmed 5/14/2026Non-QM loan program for ITIN borrowers, DACA recipients, permanent residents, and US citizens with flexible income documentation and no DTI cap.
DSCR Loan for Investment Properties
confirmed 5/22/2026A DSCR loan program for investment properties, including short-term rentals, offering up to 85% LTV and flexible qualification options like interest-only payments.
Specialized Investor Loan Program
confirmed 5/11/2026Financing for specialty agricultural properties including orchards, vineyards, groves, and equestrian facilities.
Non-QM Investor Loan
confirmed 5/18/2026A limited documentation Non-QM program that allows borrowers to qualify using a simplified written verification of employment form without requiring detailed income breakdowns.
Specialized Investor Loan Program
confirmed 5/10/2026A commercial ground-up construction loan for multi-family projects up to 10 units, designed for investors of all experience levels.
Non-QM Investor Loan
confirmed 5/10/2026A non-QM mortgage product designed for borrowers who may not meet traditional lending criteria.
DSCR Loan for Investment Properties
confirmed 6/1/2026DSCR loan program for residential 1-4 unit investment properties, offering multiple series options including Signature, Streamline, and Standard.
DSCR Loan for Investment Properties
confirmed 5/26/2026DSCR loan program for short-term and long-term rental investment properties with competitive pricing and fast appraisal processing.
Non-QM Investor Loan
confirmed 5/10/2026A non-QM mortgage product designed for borrowers who may not meet traditional lending criteria.
Specialized Investor Loan Program
confirmed 5/10/2026Financing solutions for commercial agricultural properties that generate income, tailored to the specific operational needs of the borrower.
DSCR Loan for Investment Properties
confirmed 5/11/2026A DSCR loan program for short-term rental properties like Airbnb and VRBO that qualifies borrowers based on property income without requiring personal income documentation.
Bridge Loan for Investors
confirmed 5/12/2026Short-term bridge financing for investors to acquire or refinance distressed or non-warrantable condo units.
Bridge Loan for Investors
confirmed 5/9/2026A streamlined short-term bridge loan program for non-owner-occupied investment properties, offering interest-only payments and no income documentation requirements for entity-based borrowers.
DSCR Loan for Investment Properties
confirmed 5/20/2026A DSCR loan program for investment properties that allows for short-term rentals, vacant properties, and qualification based on market rent without requiring a lease.
Foreign National Investment Loan
confirmed 5/9/2026Financing program for international investors purchasing U.S. real estate that does not require U.S. credit history or traditional U.S. income documentation.
Non-QM Investor Loan
confirmed 5/9/2026Financing solutions for condo projects that do not meet standard Fannie Mae or Freddie Mac guidelines, including those with litigation, high commercial space, or investor concentration.
Specialized Investor Loan Program
confirmed 6/8/2026A flexible, fully amortized HELOC solution for primary, second home, and investment properties with loan amounts up to $750,000 and fast funding in as little as 5 days.
Fix & Flip Loan for Investors
confirmed 6/2/2026Financing for experienced investors and developers focused on fix-and-flip projects with fast closing timelines.
DSCR Loan for Investment Properties
confirmed 5/9/2026A flexible Non-QM program offering full income, alternative income, and DSCR documentation options with fixed, adjustable, and interest-only rate structures.
Bank Statement Loan
confirmed 5/10/2026A non-QM bank statement program for service and tip industry workers that uses 12-24 months of bank deposits to calculate income without requiring tax returns.
Austin STR / Airbnb DSCR FAQs
Type 1 vs Type 2 STR in Austin - what's the difference?
Type 1: owner-occupied STR where you live on-site and rent rooms or the whole property when you're away. Widely allowed citywide. Type 2: non-owner-occupied investor-style STR. Restricted to specific zones with density caps; many residential zones do not permit Type 2 at all. Verify the specific address zoning before purchase.
Can I buy an Austin investor STR and operate as Type 1?
Not legally. Type 1 requires actual owner-occupancy 6+ months per year. Many investors have tried this; the city enforces and revokes Type 1 permits for non-resident owners.
What's Austin's STR seasonal pattern?
Four major peaks: SXSW (March, 9-10 days), ACL Festival (October, 2 weekends), F1 Circuit of the Americas (October), UT football (Aug-Nov home games). Off-peak occupancy is moderate; ADR drops 40-60% from event peaks.
Property tax impact on Austin STR DSCR math?
High. Travis County effective rate 1.8-2.2% means $7-10K/year in property tax on a $400K STR. Build full-rate taxes into the DSCR calculation. Austin investor properties don't get homestead exemption.
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