Conventional Investment Property Loans in El Paso, TX
Loan-size math and qualifying analysis for Conventional financing on El Paso's $236k median home value. Strong fit.
Strong fit for El Paso.
El Paso medians ($236k) keep down payment requirements manageable, and rental fit (91/100) supports the long-term cash flow conventional loans depend on.
Payment on El Paso's $236k median.
| Median home value (El Paso) | $235,994 |
| Assumed LTV | 80% |
| Loan amount | $188,795 |
| Cash to close (down payment) | $47,199 |
| Assumed rate | 6.75% |
| Term | 30-year amortizing |
| Monthly P&I | $1,225/mo |
Does El Paso pencil?
| Median monthly rent (El Paso) | $1,464/mo |
| Property taxes (est. 1.1%/yr) | −$216/mo |
| Insurance (est. 0.5%/yr) | −$98/mo |
| NOI (before debt) | $1,150/mo |
| Debt service | −$1,225/mo |
| DSCR | 0.94 |
Most Conventional lenders require DSCR ≥ 1.10 to fund and ≥ 1.20-1.25 for the best pricing tier. El Paso medians fall below typical lender DSCR floors — a DSCR loan will only work on properties materially below median or with above-market rent.
Conventional financing — the mechanics.
Conforming residential mortgage for non-owner-occupied 1-4 unit properties, sold to Fannie Mae or Freddie Mac. Standard 30-year amortization. The lowest-cost real-estate financing available to most investors.
Lender requires: 680+ FICO, 20-25% down, DTI typically under 45% including the new mortgage, 2 years of W-2 + tax returns, 6 months of reserves per property. Closing in 30-45 days.
How Texas law affects this loan.
Texas: no state income tax. See full Conventional in Texas breakdown.
Frequently asked.
What's the typical Conventional loan size for a property in El Paso?
On El Paso's $236k median home value, a Conventional loan at the standard 80% LTV would be approximately $189k, requiring $47k down.
What's the monthly payment on a typical Conventional loan in El Paso?
Fully-amortizing 30-year payment on a $189k Conventional loan at the typical rate of 6.75% would be approximately $1k/month, excluding taxes and insurance.
Is El Paso a good market for Conventional financing?
El Paso medians ($236k) keep down payment requirements manageable, and rental fit (91/100) supports the long-term cash flow conventional loans depend on.
What credit and reserves do Conventional lenders require for El Paso properties?
Lender requires: 680+ FICO, 20-25% down, DTI typically under 45% including the new mortgage, 2 years of W-2 + tax returns, 6 months of reserves per property. Closing in 30-45 days.
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