Texas Funding Corporation

About Texas Funding Corporation

Headquartered in Houston, TX, Texas Funding Corporation is an asset-based lender offering funding throughout Texas. They provide private commercial loans, fix and flip hard money loans, and long term rental property loans. They offer loan amounts ranging from $50,000 to $1,000,000 with a maximum LTV of 80%, rates ranging between 14% and 15%, and terms between 1 year and 2 years. They will make loans on all the following types of properties: single family residences, multi family, apartment buildings, office buildings, retail units, mixed use buildings, undeveloped land, and industrial buildings.

Loan Types Offered: Investment Property Loans, Fix and Flip Loans, Commercial Hard Money Loans

Property Types Covered: Single Family, Multi Family, Apartment, Office, Retail, Mixed Use, Land, Industrial

Areas Served: TX

Lending Guidelines for Texas Funding Corporation

Below are the general loan guidelines published on the Texas Funding Corporation website. Please confirm all terms and rates directly with the lender.

Loan Examples

The following loans are for education purposes only. They do not represent actual loans executed by Texas Funding Corporation.

Loan Example 1

Tommie finds a house in Houston, TX to renovate and re-sell. Since she does not have enough cash available to buy the $190,000 house outright, she takes out a hard money loan from Texas Funding Corporation. The lender agrees to write a note with a 60% loan-to-value (LTV) so they are willing to loan $114,000 on the property. The loan also has these features: 1) a 12 month length, 2) a 8% interest only note, and 3) a five percent origination charge.

Tommie will need to contribute $76,000 to the closing (40% on the 60% loan-to-value), plus she will have to pay the $5,700 origination fee. Texas Funding Corporation will collect $760 in monthly interest payments from the borrower. This is computed by taking the total loan amount of $114,000, multiplying by the 8% interest rate, and then dividing that number by 12. If Tommie accomplishes her goal of a $247,000 sales price when the loan expires, she would collect a total profit of $42,180 after re-paying the principle and subtracting the cash she paid at closing, the origination fee, and the monthly interest payments.

Loan Example 2

Vivian takes a fix and flip loan from Texas Funding Corporation so she can rehab a townhouse to resell in Houston, TX. The deal has the following terms:

$360,000 purchase price
75% loan-to-value (LTV)
12 month term
11% interest rate
2% origination fee

If Vivian succeeds in her goal of a $450,000 sales price, the numbers of the project will be the following:

$450,000 sales price
- $270,000 principle (75% LTV)
- $90,000 down payment (25% on 75% LTV)
- $5,400 origination fee (2% of the $270,000 principle)
- $29,700 interest payments (12 months x 11% interest)
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= $54,900 total profit (doesn't include taxes or renovation costs)