Recently Funded DSCR Loan In Killeen, Texas

Loan Scenario:

This DSCR rental loan funds a single-family purchase in Killeen, Texas. Specifically, the investor acquired the property for $171,254, supported by an appraised value of $180,000. As a result, American Heritage Lending provided $128,440 in long-term financing. Notably, the loan carries a 71.36% Loan-to-Value ratio. Furthermore, the property reports a Debt Service Coverage Ratio of 1.325. Therefore, the rental income gives a clear cushion above the debt payment.

The borrower is an experienced investor focused on long-term cash flow. Notably, American Heritage Lending set up the loan as a 40-year fixed-rate facility with an interest-only feature. Because of this, the investor locks in a stable rate while keeping the monthly payment low. As a result, the structure improves day-one cash flow. Furthermore, the DSCR program approves the loan based on rental performance rather than personal income.

Killeen sits next to Fort Cavazos, one of the largest military bases in the country. As a result, the local rental market draws steady demand from service members and their families. Additionally, the area benefits from healthcare, education, and retail employers that round out the tenant pool. Consequently, single-family rentals near the base tend to lease quickly when priced to the market.

Overall, this deal shows how American Heritage Lending supports investors with flexible DSCR options. Specifically, the 40-year fixed-rate interest-only structure pairs a low LTV with a strong DSCR cushion. As a result, the investor adds a cash-flowing rental without the limits of full income review. Furthermore, the program lets the property’s income carry the loan, freeing up room for future deals.