Texas Commercial Mortgage Refinance: The 2026 Landscape
Looking for comprehensive refinancing guidance? See our complete commercial mortgage refinancing guide.
Texas remains one of the most active commercial real estate markets in the country. With major metros in Dallas-Fort Worth, Houston, Austin, and San Antonio continuing to attract industrial and multifamily investment, and the state’s business-friendly regulatory environment, Texas commercial real estate has shown more resilience than most markets through the recent rate cycle.
But that doesn’t mean refinancing is easy. Whether you own a multifamily property in Dallas, an industrial building in Houston, or a retail strip center in San Antonio, the 2026 refinancing environment requires a more strategic approach than simply calling your current bank.
What the Texas Lending Market Looks Like Right Now
Industrial / Warehouse: Texas industrial continues to attract strong lender interest — particularly in the I-35 corridor, Houston ship channel areas, and DFW logistics hubs. LTVs up to 70–75% are achievable with strong tenancy. Lender appetite is broad across banks, life companies, and debt funds.
Multifamily: Texas multifamily has faced some softening in Austin and parts of Dallas due to significant new supply. Lenders are underwriting more conservatively — expect tighter DSCR requirements (1.25x or better) and careful scrutiny of rent rolls showing concessions. Houston and San Antonio markets remain more stable.
Retail: Grocery-anchored and necessity-based retail is still financeable. Single-tenant retail with long NNN leases from credit tenants remains attractive to life companies and banks. Unanchored multi-tenant retail is more challenged.
Office: The most difficult category in Texas as elsewhere. Small, well-leased suburban office in strong submarkets can still find financing, but lenders are selective. Expect higher rates and lower LTVs than pre-2022.
Texas Commercial Refinancing: Lender Comparison
| Lender Type | Best For | LTV Range | Rate Range (2026) |
|---|---|---|---|
| Texas Regional Banks | Smaller deals ($500K–$5M), existing customers | 65–75% | 6.5–8.5% |
| National Banks | $2M–$50M, stabilized properties | 70–75% | 6.0–7.8% |
| Life Companies | $5M+, institutional-grade properties | 65–70% | 5.8–7.2% |
| Debt Funds | Value-add, transitional, time-sensitive deals | 70–80% | 7.5–10.5% |
| CMBS | $5M+, long-term fixed, non-recourse | 65–75% | 6.2–8.0% |
Rate ranges reflect typical 2026 pricing for stabilized Texas commercial properties. Your actual rate depends on property type, DSCR, location, and loan size. See also: DSCR calculator to check your debt service coverage.
Texas Refinance Options at a Glance
Different Texas refinance needs call for different loan structures. This table maps the most common situations to the right refinance path:
| Your Situation | Best Refinance Path | Learn More |
|---|---|---|
| 10-year loan maturing, need new permanent financing | Rate-and-term refinance across banks, life cos, CMBS | Balloon loan guide |
| Property leased up, need to exit a bridge loan | Permanent take-out financing (bank or life co) | Bridge loan guide |
| Strong appreciation, want to pull equity out | Cash-out refinance up to 65–70% LTV | Cash-out refinance |
| Worried about prepayment penalties on payoff | Quantify the penalty before refinancing | Yield maintenance calc |
| Not sure your cash flow qualifies | Check DSCR and LTV before applying | DSCR calculator · LTV calculator |
Texas-Specific Advantages for Commercial Borrowers
Texas has several structural advantages that affect commercial financing:
No state income tax. Lower operating costs mean better NOI, which translates to better DSCR — the primary underwriting metric most lenders use.
No commercial mortgage brokerage licensing requirement. Unlike California, New York, or many other states, Texas does not require a specific state license for commercial-only mortgage brokering. This means more brokers and more lender relationships compete for your deal, which drives better terms.
Deed of trust state. Texas uses deeds of trust rather than mortgages, which affects foreclosure timelines. Most commercial lenders are familiar with Texas real property law and underwrite accordingly.
Robust transaction volume. Texas’s high transaction volume means appraisers and title companies are experienced with CRE deals and can often move faster than in smaller markets.
Common Texas Refinance Scenarios
Scenario 1: Balloon maturity approaching
You have a 10-year loan that’s maturing. Your bank says the terms will change significantly on renewal — higher rate, lower LTV, more recourse. Running a competitive bid across the full market typically surfaces 3–5 lenders willing to offer better terms.
Scenario 2: Cash-out refinance
Your Dallas industrial property has appreciated significantly. You want to pull equity for a new acquisition without selling. Most lenders will allow cash-out refinances up to 65–70% LTV on stabilized industrial.
Scenario 3: Rate-and-term refinance
Your original loan was written at a higher rate. Depending on when your deal was done, there may be meaningful savings available — particularly if you’re able to lock a longer fixed period.
Scenario 4: Bridge to permanent
You acquired a value-add multifamily property in Houston, completed renovations, and are now 80% leased. You’re ready to refinance out of your bridge loan into permanent financing at better long-term rates.
Texas Cities Where We’re Most Active
RefiLoop regularly works with property owners across Texas’s major markets:
- Dallas-Fort Worth — Industrial, multifamily, suburban office
- Houston — Industrial/logistics, multifamily, medical office
- Austin — Multifamily, mixed-use, industrial
- San Antonio — Multifamily, retail, industrial
- El Paso — Industrial (cross-border logistics), multifamily
Frequently Asked Questions
What loan sizes do you handle for Texas commercial properties?
RefiLoop works on Texas commercial loans from $500,000 to $15 million. This covers most property owners across Texas’s secondary and tertiary markets as well as smaller deals in the major metros.
Does Texas require a commercial mortgage broker license?
No. Texas does not require a specific state license for commercial-only (non-residential) mortgage brokering. RefiLoop operates in Texas with no brokerage license requirement, and no upfront fees are charged.
How long does a Texas commercial refinance take?
A standard commercial refinance in Texas typically takes 45–75 days from application to close. Bridge loans can close in 3–5 weeks. Life company and CMBS deals may take 90–120 days.
How RefiLoop Works for Texas Property Owners
We’re not a lender — we’re the competitive process you run before choosing a lender. Submit your deal once, and we reach out to the banks, debt funds, insurance companies, and bridge lenders in our 7,000+ network who are actively lending in Texas. Within 48 hours, you have 3–5 real offers to compare.
No upfront fees. No commitment required to see your options. We make money only when you close a loan that works for you.
If you own a commercial property in Texas with a loan maturing in the next 6–18 months, now is the right time to see what the market will offer.
Explore Texas Markets
RefiLoop works with commercial property owners across all of Texas’s major markets. Browse our city-specific guides for local lender market details:
- Commercial Mortgage Refinance — Dallas, TX
- Commercial Mortgage Broker — Houston, TX
- Commercial Real Estate Refinance — Austin, TX
- Commercial Bridge Loan — San Antonio, TX
- Commercial Mortgage — Fort Worth, TX
Complete guide: Commercial Mortgage Refinancing — The Complete Guide →
Other markets we serve: Florida · Atlanta · Balloon payment calculator
Cities We Serve in Texas
- San Antonio Commercial Bridge Loan
- Houston Commercial Mortgage Broker
- Dallas Commercial Mortgage Refinance
- Austin Commercial Real Estate Refinance
- Fort Worth Commercial Mortgage
Frequently Asked Questions: Texas Commercial Mortgage Refinancing
What DSCR do Texas lenders require in 2026?
Most Texas banks and life companies require minimum DSCR of 1.25x for multifamily and industrial properties, and 1.30x for retail and office. Debt funds may go down to 1.10x–1.15x for value-add deals with strong sponsors. Learn how the ratio works in our debt service coverage ratio explainer.
How long does a Texas commercial refinance take?
Typical timeline is 60–90 days from application to close. Regional banks can sometimes move in 45 days for smaller, straightforward deals. CMBS and life company loans typically run 75–90 days due to more extensive underwriting.
Are Texas property taxes considered in DSCR calculations?
Yes. Texas has no state income tax but relatively high property taxes. All Texas lenders include property tax estimates in their DSCR and debt service calculations. Expect taxes to be 1.5%–2.5% of property value annually depending on county.
Can I refinance if my property is in a secondary Texas market?
Yes, though lender options narrow outside the major metros (DFW, Houston, Austin, San Antonio). Regional and community banks are often more active in secondary markets like Corpus Christi, Lubbock, El Paso, and Amarillo than national lenders.
About David Greenbaum
David Greenbaum is a commercial mortgage broker and co-founder of RefiLoop. He specializes in helping commercial property owners refinance maturing loans between $200K and $15M across Texas, Florida, Georgia, North Carolina, Ohio, and other priority markets. With hands-on experience in commercial bridge loans, debt fund financing, and conventional CRE refinancing, David helps borrowers find the right capital source for their situation — not just the easiest one.