Mortgage Broker in San Marcos, TX
San Marcos sits right in the middle of the Austin–San Antonio corridor, and buyers have noticed. It has river-town character, Texas State University, and fast-growing master-planned communities. Buyers can get more house for the money than in many Austin suburbs and still reach either metro on I-35. CapFi Lending is a locally owned Central Texas mortgage broker. We compare more than 50 wholesale lenders to find the loan that fits your San Marcos move.
Call or text (512) 593-1336, Mon–Sat 9–7, for your free pre-approval. Most buyers hear back the same day.
San Marcos mortgages at a glance
CapFi Lending is an Austin-based mortgage broker licensed to make loans anywhere in Texas, including San Marcos. We compare programs from more than 50 wholesale lenders for first-time buyers, parents, investors and self-employed borrowers, with non-QM options like DSCR, bank statement, P&L and asset depletion loans when tax returns don’t tell the whole story.
San Marcos facts and sources
| Fact | Figure | Source |
|---|---|---|
| Population, July 1, 2025 estimate | 77,830 | U.S. Census Bureau QuickFacts (V2025) |
| Growth, April 2020 to July 2025 | 14.9% | U.S. Census Bureau QuickFacts (V2025) |
| Median value of owner-occupied homes | $310,400 | U.S. Census Bureau QuickFacts, ACS 2020–2024 |
| Owner-occupied housing rate | 30.8% | U.S. Census Bureau QuickFacts, ACS 2020–2024 |
| Median gross rent | $1,322 | U.S. Census Bureau QuickFacts, ACS 2020–2024 |
| Lived in the same house a year earlier | 67.8% | U.S. Census Bureau QuickFacts, ACS 2020–2024 |
San Marcos is the county seat of Hays County, on I-35 about 25 miles south of Austin, per the Handbook of Texas. Fewer than a third of homes are owner-occupied and about a third of residents moved within the past year, so this is a renter-heavy, fast-turnover market. That’s why investor financing and first-time-buyer questions come up together here.
Who’s buying in San Marcos
San Marcos draws a wide mix of buyers. First-time buyers come from Austin rentals. Texas State faculty and staff want to live near campus. Parents buy a home for their college student instead of paying rent. Veterans commute to Joint Base San Antonio. Remote workers want space and a lower cost of living. Investors look for rentals near the university. Each of these buyers needs a different loan strategy, and that’s exactly what a broker is for.
Neighborhoods we know
- Blanco Vista: a master-planned community with parks, trails, and newer homes. A favorite with first-time and young-family buyers.
- Kissing Tree: a 55+ active-adult community with golf and amenities, popular with downsizers relocating from Austin.
- Trace: a newer community on the south side with resort-style amenities and builder incentives worth comparing.
- Willow Creek and Westover: established neighborhoods with more mature trees and larger lots.
- Historic district and downtown: older homes near the Square and the San Marcos River with plenty of charm. Some need renovation financing.
- La Cima and the Hill Country edge: newer construction with views and quick access to Wimberley and Dripping Springs.
Schools
Most of the city is zoned to San Marcos CISD, including San Marcos High. Some fast-growing areas on the north and east sides fall into Hays CISD. Before you make an offer, we’ll help you confirm zoning and look at the full monthly cost, including taxes, insurance, and HOA dues.
Loan programs that fit San Marcos
- FHA loans for first-time buyers who want a lower down payment and flexible credit guidelines.
- Conventional loans for buyers with strong credit, including options for a second home.
- VA loans for veterans and active-duty families who want a quieter commute toward Randolph, Lackland, or Fort Sam Houston.
- Investment property and DSCR loans for rentals near Texas State, where you qualify on the property’s rental income.
- “Kiddie condo” style purchases, where parents buy a home for a student child to live in.
- Renovation and rehab loans for historic homes near downtown that need updating.
- New construction financing, with a side-by-side comparison against builder-preferred lender offers.
Builder incentives: get a second opinion
San Marcos has a lot of new construction, and builders often push their in-house lender with incentives. Sometimes those deals are good, and sometimes they aren’t. We’ll compare the builder’s offer with what we can find in the open market. We’ll give you an honest answer on which one actually saves you more.
Why CapFi Lending
- Locally owned Central Texas broker, not a national call center.
- Experience closing loans across Hays, Travis, Williamson, and Bexar counties.
- Reviewed by clients: Rated 4.9 on Google (79 reviews) · 5.0★ on Zillow (16) · 100% recommend on Facebook (42).
- Direct access to your broker by call or text, including evenings and Saturdays.
Which loan fits a San Marcos buyer
| If you are… | Program to look at | How income is shown | Can the home be a rental? | Notes |
|---|---|---|---|---|
| Buying a rental | DSCR loan | The property’s rent, not your income | Yes, investment only | Ratio requirement varies by lender |
| Self-employed, tax returns show high write-offs | Bank statement | 12–24 months of deposits | Varies by lender | Any price range; not a jumbo-only product |
| Self-employed with a CPA-prepared P&L | P&L loan | Profit-and-loss statement | Varies by lender | Some lenders also want bank statements |
| Retired or living on savings | Asset depletion | Eligible assets converted to income | Varies by lender | Which assets count varies by lender |
| Paying taxes with an ITIN | ITIN mortgage | Varies by lender | Varies by lender | Some lenders accept alternative credit |
| W-2 employee who doesn’t want to use tax returns | WVOE | Lender verifies employment with your employer | Varies by lender | Availability varies by lender |
| W-2 or veteran with documented income | Conventional, FHA, VA | Pay stubs, W-2s, tax returns | Primary residence for FHA and VA | Agency guidelines apply |
Terms vary by lender. No FICO, LTV, rate or reserve numbers shown on purpose.
Programs available to San Marcos buyers
San Marcos has a lot of rental demand and a lot of self-employed buyers, so non-QM loans come up often here. A DSCR loan qualifies a rental on its rent; a bank statement or P&L loan qualifies a business owner on deposits or a profit-and-loss statement.
Non-QM loans
Non-QM loans are for borrowers whose income is real but doesn’t fit a tax-return box.
- Bank statement loans qualify you on 12 or 24 months of deposits instead of tax returns, at any price point.
- P&L loans use a profit-and-loss statement prepared by a CPA or tax preparer.
- DSCR loans qualify a rental on its rent. See also DSCR 5–8 unit loans, the DSCR second mortgage and our Texas DSCR guide.
- Asset depletion turns eligible savings and investments into qualifying income.
- ITIN and foreign national mortgages serve buyers without a Social Security number or U.S. credit history.
- WVOE loans: the lender verifies employment directly with your employer.
- Interest-only, non-warrantable condo and after bankruptcy or foreclosure loans cover what agency rules won’t. Waiting periods vary by lender and chapter.
See all non-QM loan options or the self-employed mortgage page.
Agency loans
Conventional, FHA and VA loans fit buyers with W-2 income and documented tax returns. Jumbo loans cover amounts above the conforming limit. Homeowners can also look at a refinance, cash-out refinance or HELOC.
Property taxes and your payment
Who sets the value. The Hays Central Appraisal District (hayscad.com, verify) appraises the property; your total rate is the sum of each taxing unit on the bill (county, city, school district and any special district). Check whether the home sits in a municipal utility district or public improvement district, since those add a separate tax or assessment.
Homestead exemption. Once the home is your principal residence, apply with the appraisal district for the residence homestead exemption under Texas Tax Code §11.13. School districts must exempt $140,000 of value, plus another $60,000 if you are 65 or older or disabled.
The 10% cap. Under Tax Code §23.23, a homestead’s taxable value can’t rise more than 10% a year, plus new improvements, starting the year after you qualify.
Protests. Under Tax Code §41.44, file a protest by May 15 or 30 days after your notice is delivered, whichever is later.
Why it matters for the loan. Lenders qualify you on the full monthly payment, taxes and insurance included, so we check the tax record before you write an offer.
Agency loan costs
No lender fees on agency loans (conventional, FHA, VA). Third-party costs may apply.
Questions to ask before you make an offer
- Is the home inside San Marcos city limits?
- Is it in a MUD or PID, and what is the added tax or assessment?
- Is there an HOA, and do its rules allow renting?
- If it’s a rental, what does a comparable home rent for?
- If you’re self-employed, do your deposits or your tax returns tell a better story?
San Marcos mortgage FAQs
Can I buy a home in San Marcos for my college student?
Yes. Many parents buy a home near Texas State instead of paying rent for four years. Depending on how you structure it, the home may qualify as a second home or an investment property. We’ll walk you through the options.
Is San Marcos a good fit for VA buyers?
Very much so. San Marcos is within commuting range of Joint Base San Antonio, and VA loans offer strong benefits for eligible veterans and service members. Call us to check your eligibility.
Should I use the builder’s lender in Blanco Vista or Trace?
Not before you compare. Let us price your loan side by side with the builder’s offer so you can see which one truly comes out ahead.
Can I buy a rental property near Texas State?
Yes. DSCR and investment property loans let you qualify based on the property’s rent, which works well for student-rental investors.
How fast can I get pre-approved?
Many buyers hear back the same day. Call or text (512) 593-1336.
Can I get a bank statement loan in San Marcos?
Yes. Self-employed San Marcos buyers can qualify with 12 or 24 months of personal or business bank statements instead of tax returns. The lender averages eligible deposits to set your income. These loans work at any price point, including entry-level homes. Expense factors and documentation rules vary by lender, so we compare several for you.
Can I use a P&L statement instead of tax returns in San Marcos?
Yes. A P&L loan qualifies self-employed San Marcos buyers on a profit-and-loss statement prepared by a CPA or licensed tax preparer, usually covering 12 or 24 months. Some lenders also ask for a few months of bank statements to support it. It fits business owners whose tax returns show heavy write-offs.
Can I qualify for a San Marcos home using savings instead of income?
Yes. An asset depletion loan turns eligible savings, retirement and investment accounts into monthly qualifying income. It fits retirees and buyers between jobs with substantial assets. Which accounts count and how the lender divides them over the loan term vary by lender.
Who do I file my San Marcos homestead exemption with?
File it with the Hays Central Appraisal District. Once the home is your principal residence, apply for the residence homestead exemption under Texas Tax Code §11.13. School districts must exempt $140,000 of value, and homeowners 65 or older or disabled get another $60,000. The 10% annual cap on homestead value starts the year after you qualify.
Can I buy in San Marcos with an ITIN instead of a Social Security number?
Yes. Several wholesale lenders offer ITIN mortgages for buyers who file taxes with an Individual Taxpayer Identification Number. Some lenders accept alternative credit, like rent and utility payment history, if you don’t have a credit score. Down payment and documentation rules vary by lender.
Can I get a mortgage without giving the lender my tax returns?
Yes. With a WVOE loan, the lender verifies employment directly with your employer instead of using tax returns. It fits W-2 employees whose returns show large unreimbursed expenses or recent changes. Self-employed buyers usually look at bank statement or P&L loans instead. Availability varies by lender.
Can I buy a San Marcos condo that a lender called non-warrantable?
Yes. A non-warrantable condo loan can finance a unit in a project that doesn’t meet agency rules, for example because of investor concentration, litigation or a large commercial share. Some lenders finance these projects through non-QM programs. Project review rules vary by lender.
Nearby areas
Talk to a broker about San Marcos
CapFi Lending is a broker, not the lender. We work with more than 50 wholesale lenders and are licensed to make loans anywhere in Texas. Program terms are set by each lender.
Call or text (512) 593-1336, Mon–Sat 9–7. Office visits are by appointment in Austin.
Rated 4.9 on Google (79 reviews).
- Dustin Edwards, Founding Partner / MLO
- Clay Wilson NMLS 1849979.
By Dustin Edwards, NMLS 577050
Sources
- U.S. Census Bureau QuickFacts, San Marcos city, Texas (V2025; ACS 2020–2024), checked Oct 24, 2026.
- Handbook of Texas Online, “San Marcos, TX,” checked Oct 24, 2026.
- Hays Central Appraisal District, hayscad.com (verify: site blocks automated checks).
- Texas Tax Code §§11.13, 23.23, 41.44; Texas Comptroller homestead guidance, checked Oct 24, 2026.
Start your San Marcos home search the right way
Whether it’s your first home, a home for your student, or your next rental, call or text (512) 593-1336, Mon–Sat 9–7, or tap Get Started for your free pre-approval. Put a local Central Texas broker in your corner.
Loan Types We Specialize In
Explore the home loan programs available to San Marcos buyers and homeowners.