Texas Apartment Loan Rates
| TX Apartment Loan Rates Less Than $6 Million | Free Loan Quote | ||
|---|---|---|---|
| Loan Type | Rate* | LTV | |
| Apartment Loan 5 Yr Fixed | 5.70% | Up to 80% | |
| Apartment Loan 7 Yr Fixed | 5.74% | Up to 80% | |
| Apartment Loan 10 Yr Fixed | 5.80% | Up to 80% | |
*Rates start as low as the rates stated here. Your rate, LTV, and amortization will be determined by underwriting.
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Need a multifamily loan over $6 million? Visit our Texas multifamily loan page. For other commercial property types, explore our Texas commercial mortgage options. To compare all rates nationwide, see commercial mortgage rates.
2026 Texas Apartment Loan Market Overview
Entering 2026, Texas remains one of the most active apartment markets in the country. For borrowers evaluating apartment loans, the state combines population growth, lower living costs than many coastal markets, and broad-based renter demand across multiple major metros. Even after several years of elevated construction, demand for new apartments remains apparent across Texas, where last year's net absorption total matched or exceeded deliveries in the state's four major markets.
That backdrop continues to support apartment building financing across a range of strategies, though local fundamentals are beginning to diverge. Dallas-Fort Worth, Houston, and San Antonio all entered this year with vacancy below their long-term averages, while Texas overall is benefiting from rental demand that is expected to slightly outpace supply additions in 2026. For apartment lenders, that creates a statewide landscape where growth remains important, but selectivity around supply pressure and submarket positioning matters more than it did during the post-pandemic expansion.
Dallas-Fort Worth Anchors Texas Apartment Loans
Dallas-Fort Worth continues to set the tone for much of the state's apartment activity. In 2026, the metro is projected to add approximately 25,000 jobs, deliver roughly 21,000 units, post vacancy near 5.9%, and finish the year with average effective rent around $1,540 per month. For borrowers seeking an apartment building loan, Dallas-Fort Worth remains one of the most liquid large-scale apartment markets in the country, with tightening vacancy helping offset an elevated delivery slate.
Houston Adds Scale and In-Migration Appeal
Houston gives Texas another major metro with renter demand supported by affordability and job growth. The 2026 outlook calls for about 8,000 jobs added, approximately 9,000 units delivered, vacancy near 6.3%, and average effective rent around $1,410 per month. That combination supports apartment building financing in a market where lower housing costs continue to attract in-migration even as local supply patterns shift between urban and suburban submarkets.
San Antonio Reinforces Texas Apartment Demand
San Antonio adds a different layer to the Texas apartment story. In 2026, the metro is projected to add about 15,000 jobs, deliver roughly 3,500 units, hold vacancy near 6.8%, and reach average effective rent of approximately $1,200 per month. For apartment lenders, that reflects a market where a shrinking delivery pipeline and strong population growth are helping restore rent growth after several years of supply pressure.
Rent Levels Vary Across Texas Markets
Texas continues to offer a wide rent range across its major metros. Dallas-Fort Worth is projected near $1,540 per month, Houston near $1,410 per month, and San Antonio near $1,200 per month. That range gives borrowers multiple paths for structuring apartment loans, whether the focus is major-metro scale, value pricing, or a market where rent growth is returning as supply recedes.
2026 Texas Apartment Loan Market Forecast
- Employment: Dallas-Fort Worth is projected to add approximately 25,000 jobs, Houston about 8,000 jobs, and San Antonio about 15,000 jobs.
- Construction: Dallas-Fort Worth is projected to deliver roughly 21,000 units, Houston about 9,000 units, and San Antonio about 3,500 units.
- Vacancy: Dallas-Fort Worth vacancy is projected near 5.9%, Houston near 6.3%, and San Antonio near 6.8%.
- Rent: Average effective rent is projected near $1,540 in Dallas-Fort Worth, $1,410 in Houston, and $1,200 in San Antonio.
For investors comparing apartment loans in Texas, 2026 looks less like a single statewide story and more like a group of large-scale metros with different strengths. Dallas-Fort Worth provides scale and tightening fundamentals, Houston adds lower-cost appeal with durable demand, and San Antonio brings one of the state's more improving supply-demand setups. Together, they give apartment lenders multiple high-quality reference points across Texas.
2026 Dallas Fort Worth Texas Apartment Loan Market Overview
Dallas-Fort Worth is one of the largest apartment markets in the nation and the primary anchor for apartment loans in Texas, a mega-metro anchored by AT&T, Toyota's North American headquarters, Goldman Sachs's 800,000-square-foot Dallas campus housing approximately 5,000 employees, Wells Fargo's $570 million Las Colinas campus with approximately 4,500 employees, Charles Schwab's Westlake headquarters with approximately 7,000 workers, and a diversified Fortune 500 corporate base second only to Houston in Texas. Texas has no state income tax, making DFW one of the most competitive large metros in the nation for corporate relocation. Dallas has a population of approximately 1,337,417 residents and Fort Worth approximately 1,050,336 as of 2026, with the broader DFW MSA at approximately 7.67 million people. The MSA median household income is approximately $83,398 and the median property value approximately $299,000. Dallas alone has approximately 304,373 renter-occupied households representing approximately 58% of all occupied housing units. Current data as of March 23, 2026 shows the average Dallas apartment rent at approximately $1,582 per month, with occupancy in stabilized properties at approximately 93.1%, up 10 basis points year-over-year, and the development pipeline declining from approximately 65,000 units under construction in mid-2023 to approximately 36,000 in early 2025, setting the stage for improving rent growth through 2026. These fundamentals support active demand for Texas apartment loans in the nation's fourth-largest metro.
Dallas Fort Worth Texas Apartment Loan Rates and Financing in 2026
Financing conditions for Texas apartment loans remain active in Dallas-Fort Worth in 2026, with lenders supporting stabilized assets near Toyota's Plano campus, Goldman Sachs's Dallas construction site, the Las Colinas financial district, and the Uptown and Frisco high-demand suburban corridors, as well as value-add acquisitions in mid-tier 1980s and 1990s vintage stock where the workforce housing segment outperformed other property classes in 2024 with occupancy near 92% and approximately 1.1% annual rent growth. The DFW median property value of approximately $299,000 combined with Texas's zero income tax creates favorable per-unit acquisition economics. For borrowers seeking an apartment building loan in DFW, the metro's first annual occupancy gain since 2021, the construction pipeline down approximately 45% from its 2023 peak, and a corporate relocation trend positioning DFW as a global financial services hub provide a compelling underwriting trajectory within the broader Texas apartment building financing landscape.
Trends in the Dallas Fort Worth Texas Apartment Market
Dallas-Fort Worth's rental market benefits from the largest corporate relocation wave of any U.S. metro. Goldman Sachs is building an 800,000-square-foot, $709 million campus projected to house 5,000 employees when completed in 2028. Wells Fargo opened a $570 million campus in Las Colinas for approximately 4,500 employees in October 2025. Charles Schwab relocated from California to a 1.1 million square foot Westlake campus with approximately 7,000 workers. Toyota relocated its North American headquarters to Plano, bringing over 4,000 jobs. AT&T, JPMorgan Chase, and 7-Eleven anchor the existing large employer base. Employment growth outpaced the national rate at approximately 1.1% year-over-year through July 2025. The University of Texas at Arlington awarded approximately 13,900 degrees in 2022, the University of North Texas approximately 11,197 degrees, and Dallas College approximately 10,913 degrees, collectively delivering the largest annual student output of any Texas metro. Net absorption surpassed new supply for the first seven months of 2025, the first such performance since 2021. These fundamentals continue to attract Texas apartment lenders evaluating the state's largest metro.
Dallas Fort Worth Texas Apartment Loan Rent Levels in 2026
As of March 23, 2026, the average apartment rent in Dallas is approximately $1,582 per month, with average asking rents across the DFW metro at approximately $1,518. By unit type in Dallas: studios average approximately $1,236/month, one-bedrooms average approximately $1,406/month, two-bedrooms average approximately $1,844/month, and three-bedrooms average approximately $2,211/month. Approximately 44% of all Dallas rentals are priced between $1,001 and $1,500 per month. Fort Worth carries a lower average rent profile, with approximately 50% of rentals priced between $1,000 and $1,500. Rent growth of approximately 1.2% year-to-date through July 2025 represents the strongest pace since 2022, and the workforce housing three-star segment posted approximately 1.1% annual rent growth in 2024. Submarket performance varies significantly, with Carrollton-Farmers Branch, Grapevine-Southlake, and West Plano offering the most favorable vacancy relative to recent demand for apartment loans in Texas where corporate relocation demand anchors steady absorption.
Dallas Fort Worth Texas Apartment Loan Supply and Demand in 2026
Dallas-Fort Worth has turned a cyclical corner after a historically elevated construction period. The development pipeline declined from approximately 65,000 units under construction in Q2 2023 to approximately 36,000 in early 2025, a reduction of approximately 45%, with completions projected to decline further through 2026. Net absorption outpaced new supply for the first seven months of 2025, and the first annual occupancy gain since 2021 is now recorded. Overall occupancy in stabilized properties reached approximately 93.1% as of August 2025. The Frisco-Allen-McKinney corridor is expected to complete approximately 18,800 units between 2024 and 2026, while submarkets like Carrollton-Farmers Branch, Grapevine-Southlake, and Southeast Dallas carry mild development relative to recent demand. For borrowers pursuing apartment building financing in Texas, DFW's rapidly contracting pipeline, recovering occupancy, and the strongest corporate relocation pipeline of any U.S. metro position the market for sustained improvement through 2026 and 2027.
Opportunities for Apartment Investment in Dallas Fort Worth Texas
Investors pursuing a Texas apartment loan in Dallas-Fort Worth in 2026 are focused on workforce housing mid-tier assets where the three-star segment outperformed all other property classes in 2024 with approximately 1.1% annual rent growth and occupancy near 92%, value-add acquisitions in submarkets with mild development relative to demand such as Carrollton-Farmers Branch, Grapevine-Southlake, and Southeast Dallas where improving absorption supports mark-to-market repositioning, and stabilized premium holds near Toyota's Plano campus, Goldman Sachs's upcoming Dallas campus, and Wells Fargo's Las Colinas complex where corporate professional renter demand anchors long-term income visibility. DFW's MSA median household income of approximately $83,398 and Texas' zero income tax advantage support renter income growth above the national average. For Texas apartment lenders evaluating the nation's fourth-largest metro, Dallas-Fort Worth offers the most active corporate relocation pipeline in the United States, a rapidly contracting supply timeline, and consistent household formation that supports strong long-term performance for apartment building loans throughout the metro.
2026 Houston Texas Apartment Loan Market Overview
Houston is the fourth-largest city in the United States and one of the primary markets for apartment loans in Texas, anchored by ExxonMobil, Chevron, ConocoPhillips, and dozens of energy sector companies, the Texas Medical Center with approximately 106,000 employees and the largest medical complex in the world, and NASA's Johnson Space Center. Texas has no state income tax, making Houston one of the most cost-efficient major metros for both businesses and renters. Houston has a population of approximately 2,300,419 to 2,435,715 residents as of 2026, growing at approximately 0.94% annually, having grown approximately 5.95% since the 2020 census. The median household income is approximately $62,894 to $64,813 and the median property value is approximately $253,400 to $330,000 as of March 2026, approximately 20% below the national figure. Approximately 58% of all occupied housing units are renter-occupied, one of the highest renter ratios of any major U.S. city. Current data as of March 23, 2026 shows the average apartment rent at approximately $1,346 per month and asking rents at approximately $1,400 per unit. Units under construction fell to approximately 9,321 in early July 2025, less than half the approximately 18,775 under construction in July 2024, projecting meaningfully tighter supply through 2026. These fundamentals support active demand for Texas apartment loans in the nation's fourth-largest city.
Houston Texas Apartment Loan Rates and Financing in 2026
Financing conditions for Texas apartment loans remain active in Houston in 2026, with lenders supporting stabilized assets near the Texas Medical Center's approximately 106,000-employee campus, the Energy Corridor and Katy Freeway energy sector corridor, and the Midtown, Montrose, and Heights Inner Loop submarkets where vacancy holds below approximately 5%. The median property value of approximately $253,400 to $330,000, approximately 20% below the national figure, combined with Texas' zero income tax, supports favorable per-unit acquisition economics. Mid-priced communities recorded approximately 4,300 units of net absorption over the past 12 months, a stark turnaround from combined negative absorption in 2022 and 2023. For borrowers seeking an apartment building loan in Houston, the construction pipeline at less than half its year-ago level, the Texas Medical Center's institutional permanence, and energy sector employment stabilization provide a compelling underwriting profile within the broader Texas apartment building financing landscape.
Trends in the Houston Texas Apartment Market
Houston's rental market benefits from the most concentrated energy and medical employment base of any U.S. city. ExxonMobil, Chevron, ConocoPhillips, and dozens of midstream and oilfield services companies anchor the Energy Corridor and Katy Freeway employment hubs. The Texas Medical Center employs approximately 106,000 workers across more than 60 institutions and is the world's largest medical complex, generating irreplaceable healthcare professional renter demand in the Medical Center, Museum District, and Midtown submarkets. NASA's Johnson Space Center anchors the southeast Houston Clear Lake corridor. The University of Houston awarded approximately 10,852 degrees in 2022, Houston Community College approximately 6,679 degrees, and Rice University approximately 2,595 degrees. Suburban submarkets including Katy, Cypress, Spring-Tomball, and Inner Loop neighborhoods drove the majority of absorption in 2025. Occupancy across the metro improved from approximately 88.3% in June 2024 to 89.0% in June 2025, with the Inner Loop and established neighborhoods where new supply is capped maintaining vacancy below approximately 5%. These fundamentals continue to attract Texas apartment lenders evaluating the state's largest city by population.
Houston Texas Apartment Loan Rent Levels in 2026
As of March 23, 2026, the average apartment rent in Houston is approximately $1,346 per month, with asking rents at approximately $1,400 per unit. By unit type: studios average approximately $1,001/month, one-bedrooms average approximately $1,193/month, two-bedrooms average approximately $1,507/month, and three-bedrooms average approximately $1,890/month. Approximately 45% of all Houston rentals are priced between $1,001 and $1,500 per month. Houston rents are approximately 23% below the national average, positioning it as the lowest-cost primary market among major Texas metros while still delivering projected rent growth of approximately 3 to 4% annually through 2026. Inner Loop and established central neighborhoods including Midtown, Montrose, Heights, and Rice Military are expected to post approximately 2 to 4% rent growth with vacancy below 5%, supporting consistent underwriting for apartment loans in Texas where energy sector and Texas Medical Center demand anchor durable absorption.
Houston Texas Apartment Loan Supply and Demand in 2026
Houston's rental market is transitioning from supply-driven pressure toward improving fundamentals. Units under construction fell to approximately 9,321 in early July 2025, less than half the approximately 18,775 under construction in July 2024, representing the lowest construction pipeline since 2011. The pullback was driven by elevated capital costs and tighter lending conditions limiting new starts to a potential 15-year low for annual groundbreakings. Vacancy stabilized at approximately 7 to 8% across the metro with quality units leasing within approximately 20 to 30 days in strong neighborhoods. Occupancy improved from approximately 88.3% to 89.0% year-over-year and is expected to recalibrate toward historical averages of approximately 91.4% as the contracting pipeline tightens supply. For borrowers pursuing apartment building financing in Texas, Houston's rapidly contracting pipeline, improving occupancy, and 58% renter-occupied city profile support a meaningful underwriting improvement through 2026 and 2027.
Opportunities for Apartment Investment in Houston Texas
Investors pursuing a Texas apartment loan in Houston in 2026 are focused on Inner Loop stabilized holds in Midtown, Montrose, Heights, and Rice Military where new supply is structurally capped, vacancy holds below approximately 5%, and rent growth of approximately 2 to 4% is most reliable, value-add acquisitions in mid-tier workforce housing where the mid-priced segment recorded approximately 4,300 units of net absorption over the past 12 months, and Texas Medical Center corridor assets where approximately 106,000 employees anchor irreplaceable institutional renter demand. Houston's median property value of approximately $253,400 to $330,000, approximately 20% below the national figure, and Texas' zero income tax combine to produce some of the most favorable gross rent yield-on-cost metrics of any major U.S. market. For Texas apartment lenders evaluating the nation's fourth-largest city, Houston offers the Texas Medical Center's 106,000-employee permanence, the energy sector's global anchors, and a 15-year-low construction pipeline that supports strong long-term performance for apartment building loans throughout the metro.
2026 San Antonio Texas Apartment Loan Market Overview
San Antonio is Texas's second-largest city by population and a growing market for apartment loans in Texas, anchored by Joint Base San Antonio, the largest military installation in the United States with approximately 80,000 military and civilian personnel, the South Texas Medical Center, USAA Financial Services, CPS Energy, and the University of Texas at San Antonio. Texas has no state income tax. The city has a population of approximately 1,458,954 to 1,570,314 residents as of 2026, growing at approximately 1.41% annually, having grown approximately 9.1% since the 2020 census. The median household income is approximately $62,917 to $65,056 and the median property value is approximately $219,700, approximately 10% below the national median, with a home-value-to-income ratio of approximately 3.5x, one of the most affordable in any major Texas metro. Approximately 260,788 to 260,887 renter-occupied households represent approximately 48% of all occupied housing units. Current data as of March 23, 2026 shows the average apartment rent at approximately $1,256 per month, with apartment starts down approximately 80% in 2024 to only 1,874 units, the lowest annual total since 2009, projecting a meaningfully tighter supply environment through 2026 to 2027. San Antonio currently holds the highest apartment vacancy rate among the 50 largest U.S. apartment markets at approximately 15.7% in Q1 2026, with CoStar projecting vacancy to decline to approximately 15.1% in 2026 and 13.7% by 2028 as the pipeline empties. These fundamentals support long-hold demand for Texas apartment loans in the state's second-largest metro.
San Antonio Texas Apartment Loan Rates and Financing in 2026
Financing conditions for Texas apartment loans are increasingly favorable in San Antonio in 2026 as the supply cycle turns decisively. The delivery pipeline contracted from approximately 15,000 units under construction in early 2024 to approximately 6,845 units in early 2025, and apartment starts fell approximately 80% in 2024 to 1,874 units, the lowest since 2009, pointing to a supply-constrained market beginning in 2026. The median property value of approximately $219,700 and a home-value-to-income ratio of approximately 3.5x create some of the most affordable per-unit acquisition economics of any major Texas market, and with rents beginning to recover, initial yields compare favorably to higher-cost Texas peers. For borrowers seeking an apartment building loan in San Antonio, the city's approximately 80,000 JBSA military and civilian personnel, UTSA's approximately 7,702 annual degrees, and a construction pipeline at its lowest since 2009 provide a compelling long-term underwriting profile within the broader Texas apartment building financing landscape.
Trends in the San Antonio Texas Apartment Market
San Antonio's rental market is defined by a three-pillar employment and demographic base that operates largely independent of economic cycles. Joint Base San Antonio is the largest military installation in the United States, consolidating Lackland Air Force Base, Fort Sam Houston, and Randolph Air Force Base into a complex employing approximately 80,000 military and civilian personnel, generating permanent, recession-proof military household renter demand. The South Texas Medical Center anchors a large healthcare employment base. USAA Financial Services employs thousands of financial professionals at its San Antonio headquarters. The University of Texas at San Antonio awarded approximately 7,702 degrees in 2022 and San Antonio College approximately 3,310 degrees, supporting a large and growing student and young professional renter pool. Rent reductions are ending, with modest rent growth of approximately 0.9% forecast for Q4 2025, marking the start of a gradual rebound, with CoStar projecting vacancy compression from 15.7% in Q1 2026 toward 13.7% by 2028. These fundamentals continue to attract Texas apartment lenders evaluating the state's second-largest metro.
San Antonio Texas Apartment Loan Rent Levels in 2026
As of March 23, 2026, the average apartment rent in San Antonio is approximately $1,256 per month, down approximately 2.52% year-over-year from $1,288, while the median rent is approximately $1,258 to $1,515 per month and rising approximately 1% year-over-year as of April 2026. By unit type: studios average approximately $898/month, one-bedrooms average approximately $955 to $1,080/month, two-bedrooms average approximately $1,186 to $1,378/month, and three-bedrooms average approximately $1,700 to $1,793/month. Approximately 49% of all San Antonio rentals are priced between $1,001 and $1,500 per month. Downtown and Tobin Hill command the highest rents at approximately $1,593 to $2,200/month for one-bedrooms. San Antonio rents are approximately 19 to 22% below the national average, supporting initial cap rates well above Texas metro peers. These levels support improving underwriting for apartment loans in Texas where JBSA and South Texas Medical Center demand anchor year-round absorption.
San Antonio Texas Apartment Loan Supply and Demand in 2026
San Antonio's rental market is entering a decisive supply-correction phase. Apartment starts fell approximately 80% in 2024 to 1,874 units, the lowest annual total since 2009, following approximately 9,526 units breaking ground in 2023. Units under construction declined from approximately 15,000 in early 2024 to approximately 6,845 in early 2025. Approximately 7,000 units were absorbed in 2024, confirming underlying demand, and CoStar projects vacancy declining from approximately 15.7% in Q1 2026 to 15.1% in 2026, 14.4% in 2027, and 13.7% in 2028 as the contracting pipeline tightens supply. Approximately 34% of San Antonio's rental stock was built between 1980 and 2009, creating a large value-add candidate base. Two-bedroom units make up the largest share at approximately 34% of all units. For borrowers pursuing apartment building financing in Texas, San Antonio's 80% collapse in apartment starts, projecting the tightest supply conditions since 2009, and 80,000-person JBSA military employment anchor support an improving underwriting trajectory through 2027 and beyond.
Opportunities for Apartment Investment in San Antonio Texas
Investors pursuing a Texas apartment loan in San Antonio in 2026 are focused on long-hold strategies tied to downtown revitalization and young professional demand in Tobin Hill, Midtown, and Downtown where one-bedroom rents of approximately $1,593 to $2,200/month mark the premium submarket, value-add acquisitions in the large 1980s and 1990s vintage stock where San Antonio's median property value of approximately $219,700 and 3.5x home-value-to-income ratio provide some of the lowest per-unit acquisition costs in Texas, and stabilized workforce holds near JBSA where approximately 80,000 military and civilian personnel provide enrollment-cycle-like renter demand permanence. With apartment starts at a 15-year low and CoStar projecting vacancy compression from 15.7% toward 13.7% by 2028, the forward supply-demand trajectory favors patient long-hold investors. For Texas apartment lenders evaluating the state's second-largest metro, San Antonio offers JBSA institutional permanence, the lowest per-unit acquisition costs of any major Texas market, and a construction pipeline collapse that supports strong long-term performance for apartment building loans throughout the metro.
Why Choose Select Commercial for Apartment Loans
What sets Select Commercial apart from traditional lenders and large banks? In this short video, we highlight the key reasons apartment building investors choose to work with us for Texas apartment loans between $1.5 million and $6 million. We also actively finance multifamily loans exceeding $6 million.
Here’s what the video touches on:
- No upfront application or processing fees
- Fast written pre-approvals often within 24 hours
- Access to a wide range of apartment lenders, not just one bank
- Loan structures tailored to your property and investment goals
Apartment Property Types We Finance in Texas
At Select Commercial, we arrange financing for a wide range of Texas apartment buildings, from smaller 5+ unit walkups to large portfolios of rental properties. Whether your property is urban, suburban, or mixed-use, we can help you secure the right loan structure based on your investment goals.
- Urban mid-rise and high-rise apartment buildings
- Suburban garden-style apartment complexes
- Small apartment buildings with 5+ units
- Mixed-use properties with residential and limited commercial space
- Underlying co-op apartment building loans
- Portfolios of small apartment or single-family rental properties
- Stabilized buildings with strong cash flow and rent history
If you're not sure whether your property qualifies, contact us for a free quote and we'll review your deal and let you know within 24 hours.
Recent Apartment Loan Closings
Why Texas Borrowers Choose Select Commercial
Thousands of apartment building investors trust Select Commercial for our direct, transparent approach and proven expertise in the Texas apartment loan market. We're not just brokers, we provide personalized service, fast answers, and access to top institutional lenders without the bureaucracy of traditional banks.
- Over 30 years of apartment loan experience with a national platform
- No upfront fees and fast pre-approvals, often within 24 hours
- Direct access to top lenders offering aggressive terms
- Dedicated support from quote to closing
Want to see why so many clients return to us for their next deal? Start with a free quote – we'll review your scenario and respond quickly.
Our Reviews
Latest Expert Insights from Stephen A. Sobin
Stephen A. Sobin, the president of Select Commercial Funding LLC, is a renowned expert in the field of multifamily financing. His insights and perspectives are regularly sought by leading industry publications. Here are his latest contributions that highlight his deep understanding of the multifamily financing landscape and his commitment to providing clear, insightful analysis on key industry issues.
Navigating Opportunity, Risk as 2025 Winds Down
In an article for Commercial Property Executive titled "Navigating Opportunity, Risk as 2025 Winds Down", Sobin explains as we head into the final stretch of 2025, the commercial real estate industry stands at a pivotal moment. After several years of upheaval—from pandemic disruptions to aggressive Federal Reserve rate hikes and lasting shifts in how people live and work—the sector is entering a new phase.
Why Lower Rates Haven't Fixed Commercial Real Estate
In an article for Wealth Management titled "Why Lower Rates Haven't Fixed Commercial Real Estate", Sobin explains that even as the Federal Reserve has begun cutting rates and borrowing costs should be falling, the commercial real estate sector remains locked in a frustrating stalemate. For high-net-worth investors trying to time the market, he emphasizes that understanding this disconnect requires looking beyond the headlines.
Why the Fed Rate Cut’s a Game Changer for CRE
In an article featured in Multi-Housing News, Stephen Sobin highlighted that after months of speculation and market anticipation, the Federal Reserve finally pulled the trigger last week, cutting the federal funds rate by 25 basis points to 4.00 to 4.25 percent. read the full article.
Inflation's Current Impact on Apartment
In an article featured in Multi-Housing News, Sobin explains how commercial mortgage rates continue to challenge investors, with elevated inflation depressing real estate market activity. Read the full article.
Will the July Jobs Report Pressure the Fed to Act?
Sobin noted in Multi-Housing News that unemployment hit a three-year high and job creation slowed significantly, factors that could push the Fed to reconsider future rate hikes. Read the full article.
Persistent Inflation and Its Effects on CRE
In an article featured in Multi-Housing News, Stephen Sobin highlighted that while inflation is still a challenge for the Federal Reserve, there are many positive signs for the commercial real estate industry. The headline Consumer Price Index rose 3.2 percent for the year ended Feb. 29, a figure 20 basis points lower than the Dec. 31, 2023, rate. read the full article.
Commercial Spotlight: Mid-Atlantic Region In this four-state powerhouse, smaller metros are thriving.
In a feature in Scotsman Guide, the Mid-Atlantic Region's real estate dynamics are explored, highlighting its resilience and growth amidst the pandemic.
Stephen Sobin of Select Commercial Funding LLC shared insights on the New York market's allure and the challenges buyers face. He noted the shift from primary urban areas to tertiary markets due to evolving preferences and financial conditions. For a deeper dive into Sobin's analysis, read the full article.
What the New Jobs Report Means for CRE
In an article titled "What the New Jobs Report Means for CRE" in Commercial Property Executive, Stephen Sobin shared his perspective on the latest jobs report and its implications for the Commercial Real Estate (CRE) sector. He highlighted the challenges posed by high interest rates and the prevailing uncertainty in the market. Sobin remarked, "Sellers aren’t selling, buyers aren’t buying... Everyone is waiting because no one knows what to expect." For a detailed analysis and more of Sobin's insights, read the full article.
Decoding "Junk Fees" in Rental Housing
In another latest contribution to Multi-Housing News, Sobin provided expert commentary in an article titled "What's Next for Junk Fees? The Industry Weighs In". He clarified the difference between legitimate fees collected for various third-party services and so-called "junk fees". Sobin emphasized the importance of borrowers understanding their rights in negotiating all loan terms and the obligation of lenders to disclose all fees.
Understanding the Impact of Federal Reserve's Decisions
In a recent article titled "How the Fed's Pause on Interest Rates Impacts Multifamily" published by Multi-Housing News, Sobin shared his expert insights on the Federal Reserve's decision to pause interest rate hikes. He accurately predicted that the Fed would not raise rates in June, citing recent bank failures and lingering concerns about a potential recession.
Stay tuned for more expert insights from Stephen A. Sobin on the evolving multifamily financing landscape.
Frequently Asked Questions About Texas Apartment Loans
Texas apartment loan rates vary depending on several factors such as loan-to-value ratio (LTV), property type, borrower experience, and market conditions. As of 2025, rates remain elevated due to ongoing inflation concerns, but borrowers with strong credit and high-quality assets can still find competitive pricing. Check our latest apartment loan rates for current updates.
Most lenders require a DSCR of at least 1.25, good borrower credit, net worth, liquidity, and experience. Loan-to-value ratios in 2025 typically range from 65% to 80%, due to elevated interest rates. Properties with strong occupancy and clean financials stand a better chance of qualifying.
Most lenders require 20% to 25% down for apartment loans in Texas. Your loan-to-value ratio will be subject to the property's debt service coverage ratio.
A qualified broker like Select Commercial can present your loan to many different capital sources, including banks, credit unions, CMBS, agency lenders, and private funds. This increases the odds of approval and helps you secure the most favorable terms available.
The process starts with gathering financials like a rent roll, trailing 12-month income and expense statement, borrower resume, and net worth statement. A mortgage broker will analyze your documents and match you with the best lending program. Start with a Free Quote today.
Absolutely. While this page focuses on apartment loans under $6 million, Select Commercial also arranges smaller balance loans for qualified borrowers. Visit our multifamily loan page for options over $6 million.
Agency Small Balance Apartment Loan Programs
Select Commercial connects borrowers with top-tier agency small balance loan programs in addition to bank and private capital options. Featured programs include:
- Fannie Mae® Small Loan Program – For apartment properties with 5+ units and loan sizes from $1 million to $6 million
- Freddie Mac® Small Balance Loan (SBL) Program – Streamlined financing solutions up to $6 million
- Loans Over $6 Million – Explore large-balance apartment loan programs in Texas
These agency-backed options offer competitive fixed rates, non-recourse terms, and simplified underwriting for qualified apartment investors.
Texas Apartment Building Financing
Select Commercial provides apartment building financing and Texas commercial mortgages throughout the state of Texas including but not limited to the areas below.