Mortgage Do's And Don'ts

Mortgages can be tricky, and it's easy to make mistakes that can end up costing you dearly. That's why we've put together this list of Mortgage Do's and Do not's to help you navigate the process with ease - and a little bit of humor.

DO: Shop around for the best mortgage rates

DON'T: Assume your bank will give you the best rate just because you have a checking account there. Remember, loyalty is a two-way street.

DO: Have a budget in mind

DON'T: Get in over your head. Just because you can technically afford a million-dollar mansion doesn't mean you should buy one. You don't want to be house-poor and unable to afford groceries.

DO: Get pre-approved before house-hunting
.

DON'T: Assume you'll be approved for a mortgage just because you have good credit. Pre-approval is important because it gives you a better idea of how much house you can afford and shows sellers that you're serious.

DO: Consider your future plans

.
DON'T: Assume you'll live in your new house forever. Life happens, and you may need to sell sooner than you think. Make sure you're not getting into a mortgage that you can't realistically afford if you need to move in a few years.

DO: Get pre-approved before house-hunting
.

DO: Consider your future plans

DO: Read the fine print

DON'T: Sign on the dotted line without reading the terms and conditions. There may be hidden fees or clauses that could come back to haunt you later.

DO: Be prepared for unexpected expenses

DON'T: Assume everything will go smoothly. There may be unforeseen expenses, like a leaky roof or a broken furnace, that can quickly drain your savings. Be sure to budget for these types of surprises.

DO: Read the fine print

DON'T: Sign on the dotted line without reading the terms and conditions. There may be hidden fees or clauses that could come back to haunt you later.

DO: Be prepared for unexpected expenses

DO: Have a good sense of humor

DON'T: Take everything too seriously. Yes, buying a house and getting a mortgage can be stressful, but try to find the humor in the situation. After all, laughter is the best medicine for a stressful day.

By following these Mortgage Do's and Do not's, you'll be well on your way to successfully navigating the mortgage process - with a smile on your face. Good luck, and happy house hunting!

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💰 DSCR Loans: The No-Income-Docs Strategy Houston Investors Love 🔥

📈How Houston Investors Are Winning With DSCR Loans🏘️

Bill Rapp, Commercial Mortgage Broker

November 25, 2025•3 min read

📈How Houston Investors Are Winning With DSCR Loans🏘️

💰DSCR Loans: The No-Income-Docs Strategy Houston Investors Love🔥

📈 How Houston Investors Are Winning With DSCR Loans

Houston’s investment market is booming — and savvy buyers aren’t using traditional mortgages to scale their portfolios. They’re using DSCR loans, one of the most powerful and flexible tools available to real estate investors today.

As a mortgage brokerage serving investors across Katy, Fulshear, Houston, and the entire Texas market, Medallion Funds helps borrowers leverage DSCR loans to close faster, qualify easier, and grow their rental portfolios without W-2 income or tax-return scrutiny.

If you’re an investor in the Greater Houston area, here’s why DSCR financing has become the go-to strategy in 2025–2026.

🌟 What Is a DSCR Loan?

A Debt Service Coverage Ratio (DSCR) loan is a real estate investment loan that qualifies you based on the property’s income — NOT your personal income.

Instead of W-2s, pay stubs, or tax returns, lenders look at:

DSCR Formula

Rental Income ÷ Monthly Mortgage Payment

If the ratio meets lender requirements (often 1.0–1.25+), you’re approved.

This makes DSCR loans ideal for:
✔ Investors scaling portfolios
✔ Buyers with write-offs or complex tax returns
✔ Self-employed investors
✔ BRRRR projects
✔ Out-of-state buyers entering the Houston market

🏙 Why DSCR Loans Are Exploding in Houston

Houston is a top 5 multifamily and single-family rental market thanks to:

·Strong job growth

·Massive in-migration

·High rental demand

·Affordable housing compared to Austin & Dallas

·Booming suburbs like Katy, Fulshear, and Richmond

Investors are using DSCR loans to acquire:
✔ Single-family rentals
✔ Small multifamily (2–4 units)
✔ Portfolio loans
✔ New construction investment homes
✔ Short-term rentals (Airbnb / VRBO)

With rental demand up and inventory tightening, DSCR financing helps investors move quickly — often closing in 10–21 days.

💡 Key Benefits of DSCR Loans for Houston Investors

1. No Income Documents Needed

No W-2s. No pay stubs. No tax returns.
The property qualifies on its own income.

2. Fast Approvals and Fast Closings

Ideal for competitive markets and distressed opportunities.

3. Investors Can Hold Multiple Properties

DSCR lenders don’t limit the number of financed properties like conventional lenders.

4. Perfect for Self-Employed Houstonians

Business owners and 1099 earners get approved without complicated income verification.

5. Great for BRRRR Investors

Refi-friendly underwriting + cash-out options = perfect fit for the BRRRR model.

6. Flexible Credit + High LTV Options

• Credit as low as 620
• LTV up to 80–85% for purchases
• Cash-out available for future investments

🏆 Why Houston Investors Choose Medallion Funds

As a mortgage broker — not a bank — Medallion Funds shops 600+ lenders to find you:

·Better DSCR rates

·Lower fees

·Faster turn-times

·More flexible underwriting

·Multiple term options

We work with investors across:
🏙 Houston
🌆 Katy
🌄 Fulshear
🚀 Richmond
🌉 Cypress
🌵 San Antonio & Austin suburbs

Whether you're buying your first investment property or refinancing a portfolio, DSCR loans are one of the most investor-friendly tools available in today’s market.

Final Takeaway

If you’re investing in the Houston area, DSCR loans give you the speed, flexibility, and scalability needed to win deals in 2025–2026.

And with rental demand growing across every major Houston submarket, there has never been a better time to use DSCR financing to build long-term wealth.

👉 Want help running numbers?
👉 Need a DSCR pre-approval today?

Send me a message — Medallion Funds makes investing simple.

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Bill Rapp - Commercial & Residential Mortgage Broker

Whether you're a first-time homebuyer, a seasoned investor, or a business owner with ambitious plans, securing the right financing is crucial. At Medallion Funds, we take the guesswork out of mortgages, offering a comprehensive suite of residential and commercial loan options to fit your unique needs. Looking for Your Dream Home? We understand the excitement and challenges of navigating the residential real estate market. Our experienced mortgage brokers will guide you through every step, from pre-qualification to closing. We offer a variety of loan programs to suit your financial situation, including: • Fixed-rate mortgages: Offering stability with predictable monthly payments. • Adjustable-rate mortgages (ARMs): Providing competitive rates for a set period. • FHA loans: Making homeownership accessible with lower down payments. • VA loans: Rewarding veterans with attractive rates and flexible terms. Investing in Your Business Future? Growth often requires capital, and we can help you unlock the potential of your commercial property. Our brokers specialize in a wide range of commercial loan options, including: • Purchase loans: Financing the acquisition of new buildings or land. • Construction loans: Facilitating the development of your project. • Refinance loans: Restructuring your existing mortgage for better terms. • SBA loans: Providing access to government-backed financing for qualified businesses. The Medallion Funds Difference: We go beyond simply finding a loan. We take the time to understand your goals and develop a personalized strategy. Here's what sets us apart: • Expertise: Our brokers have a deep understanding of both residential and commercial lending. • Competitive Rates: We leverage our strong lender relationships to secure the best possible terms. • Streamlined Process: We handle the paperwork, keeping you informed every step of the way. • Exceptional Service: We're committed to providing you with a positive and stress-free experience. Ready to Take the First Step? Contact Medallion Funds today for a free consultation. Let's discuss your financing needs and help you achieve your dreams!

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🧮 Renovation ROI Calculator

🛠️ Renovation ROI Calculator 💰

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