Dallas has everything a lender wants: a huge metro, steady demand, no state transfer tax and fast foreclosure. What it does not have right now is easy flip margins. This page lays out what the 2026 numbers say about flipping in Dallas, how to value a deal when sale prices are private, what happens to a rental's property tax when you buy it, and our lending partners' terms.
Location is never the problem in Dallas. Our lending partners' underwriting guidelines look for property within about 45 to 60 minutes of a metro area of 200,000 people or more, and Dallas, Collin, Denton, Tarrant, Rockwall, Kaufman and Ellis counties all sit inside one of the largest metros in the country. The value floor, $100,000, and the lot limit, two acres, are easy in most of it too.
The problem is the margin. ATTOM's report on the first quarter of 2026 put the typical gross flipping margin in the Dallas metro at 4.3 percent, among the thinnest of any large metro in the country. Gross means before a dollar of renovation, points, interest, insurance, taxes or commissions.
Here is what that looks like. On a $300,000 purchase, the typical Dallas flip resold for about $313,000. ATTOM notes that flippers estimate renovation, financing and selling costs at 20 to 33 percent of the resale price, which on $313,000 is roughly $63,000 to $103,000. At the typical Dallas spread, the typical flip lost money.
So a Dallas flip that works is one bought far below the typical discount: a probate sale, a house needing more work than retail buyers will take on, an off-market seller. Our lending partners can finance it. The deal has to exist first.
Texas is a non-disclosure state. Sale prices are not recorded publicly, so you cannot look up what the house down the street sold for, and automated estimates are guesses built on thin data. In a market where the whole profit can be a few percent of the price, that matters.
Build your after-repair value from closed sales pulled from the multiple listing service by an agent who works the neighborhood. Match square footage, age, lot and finish level. In Dallas, a mile can be the difference between two very different buyer pools, so resist comparables from the next zip code over.
Texas has no state income tax, and it makes up for it with property taxes, which in Dallas County run high. For a buy-and-hold investor, one Texas rule deserves attention.
Texas currently limits how much the appraised value of non-homestead property can rise each year: to 20 percent, plus new improvements, for property worth up to about $5.32 million in 2026. But the limit only applies after an owner has held the property for a full calendar year, and it is removed when the property sells. It is also scheduled to expire after the 2026 tax year unless the Legislature extends it.
So a rental the seller has held for years may carry a taxable value well below market, and when you buy it, that value resets. Estimate your taxes on market value, not on the seller's bill, before you size a DSCR loan. If the appraisal district overshoots after your purchase, the usual protest deadline is May 15, or 30 days after your notice is mailed, whichever is later.
No transfer tax. Texas does not tax the sale itself, which helps a flip keep what margin it has.
Fast foreclosure. Texas generally forecloses outside court under a deed of trust, with sales on the first Tuesday of the month. For a lender that means less risk, and for an investor it means foreclosure auctions are a real source of deals.
City rental rules. The City of Dallas runs a rental registration program and enforces minimum property standards. Check whether your rental must register before your first tenant moves in.
Where the buyers are. The Dallas metro stretches from Fort Worth to Rockwall and from Denton to Waxahachie. Your exit plan should name the buyer: a first-time buyer with an FHA loan in Mesquite needs a different finish, and a different timeline, than a relocating family in Frisco. If your likely buyer uses FHA, remember that FHA will not insure a purchase within 90 days of your own acquisition.
No Texas county is on the list where our lending partners cap leverage at 50 percent, so standard terms apply across the metro.
Fix and flip and bridge loans: from $50,000, up to 100 percent of cost but no more than 70 percent of after-repair value, with a 600 minimum credit score. Standard pricing under the underwriting guidelines is 12.99 percent and 2.99 points, with nine months as the standard term. The 10.99 percent starting rate is available after two loans have been paid off in good standing with our lending partner; a first-time borrower should expect to start above it and earn the way down.
DSCR rental loans: $75,000 to $2 million at up to 80 percent of value, qualified on the rent, with rates from 5.99 percent on the program page.
Construction loans: $100,000 to $3 million on non-owner-occupied single-family homes, from 8.5 percent.
Loans close in an entity such as an LLC, and every owner of 30 percent or more personally guarantees the loan. Terms change, so we confirm them for your property before you commit.
Yes. Dallas and the surrounding counties sit inside one of the largest metro areas in the country, so they meet our lending partners' location guideline easily. The property must be non-owner-occupied investment property with an after-repair value of at least $100,000.
Some are, but the typical one is not. ATTOM's report on the first quarter of 2026 put the typical gross flipping margin in the Dallas metro at 4.3 percent, before renovation, financing and selling costs. A Dallas flip has to be bought well below the usual discount to work.
No. Texas does not charge a transfer tax on a sale, which helps a flip. It is also a non-disclosure state, so sale prices are not public and you will need an agent with multiple listing service access to find real comparable sales.
Texas limits how much the appraised value of non-homestead property worth up to $5.32 million in 2026 can rise each year, to 20 percent plus new improvements. The limit only applies after an owner has held the property for a full calendar year, it is removed when the property sells, and it is scheduled to expire after the 2026 tax year unless the Legislature extends it.
Texas generally forecloses outside court under a deed of trust, with sales held on the first Tuesday of the month. It is one of the fastest foreclosure processes in the country, which is part of why lenders are comfortable lending in Texas.
The usual deadline is May 15, or 30 days after the appraisal district mails your notice of appraised value, whichever is later. If you buy a rental, expect its value to be reset toward the purchase price and consider protesting if the district overshoots.
Holding a Dallas rental? Our two free landlord books compare what a rental costs to carry across the states, including Texas.
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Dominion Hard Money does not lend its own funds; it arranges financing through third-party lending partners. All financing is arranged for business purposes only and secured by non-owner-occupied investment property. Not a commitment to lend. All loans subject to underwriting, property review, and approval by the lender. Terms vary by property, borrower experience, and exit strategy.
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