Short-term rentals — Airbnb, VRBO, and other vacation rental platforms — have created a new category of investment property in Texas. From Hill Country cabins to Gulf Coast beach houses to urban condos in Austin and San Antonio, STR properties generate strong cash flow but require specialized financing. Commercial Loans of Texas has been helping Texas real estate investors finance short-term rental properties since 1998.
Why Traditional Lenders Struggle with STR Properties
Short-term rentals don’t fit neatly into conventional underwriting. Conventional mortgage lenders use long-term lease income to qualify; STR income is variable and seasonal. Many lenders simply refuse STR properties outright, or will only lend on them as a primary or second home — not as investment properties. We offer commercial and investment property programs specifically designed for STR income profiles.
Short-Term Rental Loan Programs in Texas
- STR DSCR Loans — Qualify based on the property’s actual short-term rental income (Airbnb/VRBO statements or STR market data). We use trailing 12-month gross STR revenue — not long-term lease comparables — to underwrite. No personal income docs required.
- Hard Money STR Loans — Fast acquisition financing for STR investment properties. Up to 65–70% LTV. No income verification. Close in 5–10 days. Good for competitive Hill Country and Gulf Coast markets where properties move fast.
- Stated Income STR Loans — Investors whose personal returns don’t reflect actual STR cash flow.
- Bridge Loans — Acquiring a property that needs renovation before it can be listed as an STR? Bridge financing covers the purchase and renovation period.
- Multi-Property STR Portfolios — Financing 3, 5, or 10+ STR properties in a portfolio under a single loan structure.
Top Texas STR Markets We Finance
- Hill Country — Fredericksburg, Wimberley, Kerrville, Boerne, New Braunfels. Highest STR demand in Texas. Occupancy rates consistently 70–85%.
- Gulf Coast — Galveston, Port Aransas, Rockport, South Padre Island. Beach and bay access drives strong seasonal demand.
- Austin — Urban STR demand driven by SXSW, ACL, Formula 1, and year-round tech worker travel.
- San Antonio — River Walk tourism and military-related travel fuel consistent urban STR demand.
- East Texas Lakes — Lake Conroe, Lake Livingston, Lake Palestine. Lake cabin demand from Houston metro.
Get an STR Loan Quote in Texas
Tell us about the property: location, property type, current or projected STR revenue, and purchase price or value. Call 877-895-3634 or apply online. No upfront fees. Direct lender since 1998.