Interim Financing



Frameworks CDC, is a local partner and borrower utilizing TSAHC’s revolving line of credit to purchase and rehabilitate foreclosed homes in Central Texas. Frameworks recently completed their fifth home using one of our Interim Financing products.



TSAHC has provided $1.7 million in short-terms loans to both for profit and non-profit developers in the past four years. Our projects have assisted in the acquisition construction and redevelopment of more than 80 homes for low-income families in rural communities and high need areas. We provide flexible terms and competitive interest rates based on location and project affordability goals.



REO Capital

Our ICAP product is best suited for start-up programs and smaller acquisition and rehab programs.

With flexible rates and terms the ICAP program can be used for both acq/rehab and new construction programs. The program offers loans from $200,000 up to $500,000, based on experience and capacity of the borrower.

For more information or to apply check out our links below.

The REO Capital program is specifically designed for acquisition and redevelopment programs in high foreclosure areas.

Funded in partnership with the REO Capital Fund, this program offers revolving lines of credit to experienced developers looking for targeted financing with competitive rates. REO Capital lines for credit range from $500,000 up to $2,000,000.

For more information or to apply check out our links below.


TSAHC accepts applications on an ongoing basis for both the ICAP and REO Capital programs. Applicants are encouraged to communicate with staff as they assemble this application. Please contact David Danenfelzer, Manager of Development Finance by phone at: 512.477.3562, or by email at:

Loan Terms and Rates:

TSAHC has two funding models for our interim construction and acquisition lending. Our ICAP program provides smaller loans (from $200,000 to $500,000) for a variety of activities, while our REO Capital program is targeted specifically to acquisition and rehabilitation of foreclosed homes.


REO Capital

Term of Loan
18 mo to originate, 24 mos. total term
18 mo to originate, 36 mos. total term
Interest Rate

4% to 7%, based on collateral and cost of funds



TSAHC targets housing developments where at least 50% of the homes will be sold to households earning 80% or less than the AMFI. All homes and buyers must be eligible for fixed rate permanent financing.

Eligible Borrowers
Experienced entities engaged in affordable housing development, including non-profit or for-profit developers.
Eligible Activities

Acquisition of development sites, infrastructure, and housing construction or rehabilitation.

Acquisition and rehab of foreclosed properties for neighborhood stabilization efforts.

Property Types

1 to 4 unit for-sale or cooperative developments

1 to 4 unit for-sale housing
Loan Sizing
$200,000 to $500,000

$500,000 to $2,000,0000

80% LTV
85% LTV Max.
Equity Contributions

15% in flexible forms

20% of total development costs in cash equity to be escrowed.


First Lien and Title Insurance, Second Lien with Federal Funds Leveraging

First lien mortgage and title insurance
Payment Terms
Repayment due out of net proceeds of sale or refinancing of properties. No pre-payment penalties.
100% Recourse – requires guarantee from borrower
Origination Fee

Greater of 1% or $7,500.

Sliding Scale based on Loan Amount

Application Fee




For more information and to discuss lending opportunities please contact David Danenfelzer at 512-477-3562 or at:


Our Borrowers
TSAHC provides financing statewide to both nonprofit and for profit developers of affordable housing. Here is a map of the properties we’ve funded.