Rate guide — reviewed September 2026

Texas mortgage rates, program by program.

No lender can post your rate honestly without knowing your file. What they can do is show you how each program prices relative to the others, and tell you exactly which levers move your number.

The ranges below are educational comparisons, not rate quotes, offers or locks. Actual pricing depends on your credit, loan-to-value, property, occupancy, loan amount and lock period, and it changes daily. Reviewed September 2026.

ProgramTypical spreadDown paymentCredit
Conventional (primary residence)
The reference point every other program is priced against. Agency guidelines, full income documentation.
Benchmark3–20%620+
FHA
Often prices lower than conventional at lower credit scores, offset by mortgage insurance for the life of most loans.
At or slightly below conventional3.5%580+
VA
No monthly mortgage insurance and no down payment for eligible veterans.
At or below conventional0%580+
Jumbo
Pricing swings with reserves and credit. Strong borrowers sometimes beat conforming.
Conventional ±0.25%10–20%700+
DSCR (investment property)
Priced off the rent-to-payment ratio, LTV and credit. Prepayment penalty buyouts move the rate.
Roughly +1.0% to +2.5% over conventional20–25%660+
Bank statement (self-employed)
12-month statements usually price above 24-month. Reserves and LTV are the biggest levers.
Roughly +1.0% to +2.0% over conventional10–20%660+
Asset depletion
Qualifies off liquid assets. Larger reserves generally improve pricing.
Roughly +1.0% to +2.0% over conventional20–30%680+
1099-only
Uses 1099 totals with an expense factor instead of tax returns.
Roughly +1.0% to +2.0% over conventional10–20%660+
ITIN
A smaller lender pool, so structure matters more than shopping.
Roughly +2.0% to +3.5% over conventional15–25%Varies / alt credit
Foreign national
Priced on LTV and asset verification rather than a US credit score.
Roughly +2.0% to +3.5% over conventional25–35%No US credit required
What actually moves your rate

Six levers, in order of how much they matter

01

Loan-to-value

The single biggest lever on Non-QM pricing. Dropping from 80% to 75% LTV on a DSCR file often moves the rate more than a 40-point credit score improvement.

02

Credit score

Non-QM rate sheets are tiered in 20-point bands. Being one point under a tier line is the most expensive point in mortgage lending.

03

DSCR ratio

A ratio of 1.25 prices better than 1.00, and a ratio under 1.00 prices worse or requires more down payment. Texas taxes and insurance sit inside that ratio.

04

Prepayment penalty

A five-year prepay prices lower than a three-year, and buying the prepay out entirely can add roughly a point of rate. Match the term to your hold period.

05

Reserves

Verified months of payments in the bank improve both approval odds and pricing on nearly every Non-QM program.

06

Property type

Condos, 2–4 units, short-term rentals and rural properties each carry their own pricing adjustments.

Rate questions

What are DSCR loan rates in Texas right now?

DSCR pricing generally runs about one to two and a half percent above a comparable conventional investment-property rate, depending on loan-to-value, credit score, the rent-to-payment ratio and the prepayment penalty term you choose. Because Non-QM pricing is set by individual investors rather than a single agency, the only accurate number for your file is a live quote on your actual scenario.

What are bank statement loan rates in Texas?

Bank statement pricing typically sits about one to two percent above conventional. Twenty-four months of statements usually prices better than twelve, and lower loan-to-value with verified reserves moves the rate more than almost anything else.

Why can't a lender post exact mortgage rates?

A rate is a function of your credit score, loan-to-value, occupancy, property type, loan amount, lock period and program. Posted numbers are averages for a hypothetical borrower, which is why every honest quote comes with an assumption set attached.

Do Non-QM rates move with the Fed?

Indirectly. Mortgage pricing tracks the bond market, and Non-QM pricing adds an investor-specific spread on top. That spread widens or tightens with investor appetite, which is why Non-QM can move on days when conventional does not.

Can I buy my mortgage rate down?

Yes. Discount points lower the rate for an upfront cost, and on DSCR files you can often also buy down or buy out the prepayment penalty. Whether either is worth it depends entirely on how long you plan to hold the loan.

How often is this page updated?

The ranges and market notes on this page are reviewed monthly. They were last reviewed in September 2026. They are educational ranges, not an offer or a rate lock.

Related non-QM guides

If your income isn't a W-2

Most of what Mike does sits outside agency guidelines. If your file is self-employed, 1099, asset-heavy, or investor-owned, start here:

DSCR loans in Texas

Qualify a rental on its own rent instead of your tax returns.

Bank statement loans in Texas

Use 12–24 months of business deposits as qualifying income.

Worked DSCR scenarios

Six line-by-line ratio calculations across Texas metros.

Bank statement loan requirements

Deposit math, expense factors, and 12 vs 24 month options.

Non-QM loans in Texas

Asset depletion, 1099-only, P&L, ITIN and foreign national paths.

DSCR calculator

Estimate your ratio from rent and total housing expense.

Get a real number on your actual file.

Ask Mike a Mortgage Question