Self-Employed Mortgage Loans Texas: How to Qualify & Best Lenders for 2026

You run a successful contracting business in Keller. Your revenue is strong, your credit score is 710, and you’ve been disciplined enough to save a solid down payment. You sit down with a conventional lender, hand over your tax returns, and watch their expression shift. Your net income—after the legitimate business deductions your accountant has spent years optimizing—looks like half of what you actually bring in. The lender shakes their head. You don’t qualify. It’s a frustrating, disorienting experience that thousands of self-employed borrowers across the Dallas-Fort Worth area face every year, and it has almost nothing to do with your actual financial health.

Here’s what that lender probably didn’t tell you: there’s an entire category of mortgage products built specifically for people in your situation. Non-QM loans and bank statement loans exist precisely because conventional underwriting was never designed with business owners in mind. If you’re self-employed and trying to buy a home in Texas in 2026, you have more options than you might realize—and this guide is going to walk you through all of them.

Why Self-Employed Borrowers Face Mortgage Qualification Challenges

The mortgage industry was largely built around the W-2 employee. You have a single employer, a predictable paycheck, and a tax return that clearly shows your gross income. Underwriting models were designed around that simplicity. When you’re self-employed—whether you’re a contractor in Roanoke, a medical practice owner in Southlake, or a freelance consultant working out of Colleyville—you don’t fit that mold, and the system penalizes you for it.

This isn’t a character flaw or a sign that you’re financially unstable. It’s a structural mismatch between how conventional lending works and how business income actually flows. Understanding that distinction is the first step toward finding the right solution.

The Tax Return Problem: Why Your Deductions Work Against You

When a conventional lender evaluates your income, they’re looking at your net income—the number left over after every business deduction has been applied. If your contracting business grosses $180,000 a year but your accountant has legitimately reduced your taxable income to $90,000 through equipment depreciation, home office deductions, vehicle expenses, and other write-offs, the lender sees $90,000. That’s the number they use to calculate how much house you can afford.

This creates a genuine catch-22. The better your tax strategy, the harder it is to qualify for a conventional mortgage. Every dollar you save in taxes potentially reduces your mortgage qualification amount. You can’t have it both ways in the conventional lending world—but in the non-QM world, you can. Self-employed loan programs are structured to look past the tax return and evaluate your real financial picture.

Income Volatility and the Lender’s Risk Perspective

Conventional underwriting assumes stable, predictable income. A W-2 employee who earns $7,500 a month will earn approximately that amount next month and the month after. Self-employed income doesn’t work that way. A commercial contractor in the DFW area might earn $30,000 in a strong quarter and $8,000 in a slow one. A real estate professional might have a breakout year followed by a leaner year as the market shifts.

Conventional lenders average your income over two years, which sounds reasonable until you realize what it does to a borrower in a growth phase. If you earned $60,000 in year one and $120,000 in year two, the lender averages those to $90,000—even though your current trajectory clearly points upward. That averaging can also punish borrowers who had a difficult year during a market downturn and have since recovered. The system isn’t built for nuance, and most loan officers at conventional banks lack the expertise in non-QM products to offer you an alternative path.

Understanding Non-QM and Bank Statement Loans: Your Alternative Path

Non-QM stands for non-qualified mortgage. A “qualified mortgage” is a loan that meets specific federal standards set by the Consumer Financial Protection Bureau—standards that include how income is documented and how debt-to-income ratios are calculated. Non-QM loans don’t meet those specific standards, but that doesn’t make them predatory or risky. It simply means they use alternative methods to verify a borrower’s ability to repay.

For self-employed borrowers, the most important non-QM product is the bank statement loan. But there are several other options worth understanding, and the right choice depends on your specific income documentation situation.

How Bank Statement Loans Work

The mechanics of a bank statement loan are straightforward once you understand the underlying logic. Instead of asking for your tax returns, the lender asks for 12 to 24 months of your business bank statements. They add up all the deposits over that period and calculate an average monthly deposit figure. Then they apply what’s called an expense factor—typically 25% to 50%—to account for business costs that aren’t visible in the bank statements themselves.

Here’s a practical example: if your business account shows average monthly deposits of $15,000 over 24 months, and the lender applies a 40% expense factor, your qualifying income becomes $9,000 per month. That’s the number used to calculate your debt-to-income ratio and determine your maximum loan amount. Compare that to a tax return showing $5,500 per month in net income, and you can immediately see why bank statement loans open doors that conventional lending closes.

This method captures your actual cash flow without penalizing you for the legitimate business deductions that reduce your taxable income. It’s a fundamentally more accurate picture of your financial reality as a business owner. Lenders with Oasis Home Mortgage’s non-QM expertise understand how to structure these calculations to give you the best possible qualifying income.

Other Non-QM Loan Types for Self-Employed Borrowers

Bank statement loans are the most common non-QM product for self-employed borrowers, but they’re not the only option. Depending on how your income is structured, one of these alternatives might be a better fit:

• 1099 Loans: Designed for freelancers and independent contractors who receive 1099 income rather than W-2s. These loans use your 1099 forms to document income, which is often more straightforward than gathering 24 months of bank statements. If you’re a consultant, real estate agent, or gig worker with consistent 1099 income, this may be your cleanest path.
• Profit & Loss (P&L) Loans: These use business profit and loss statements—prepared by a CPA or accountant—rather than personal tax returns. The P&L reflects your actual business performance without the distortion of personal tax strategies. This works well for borrowers whose businesses are genuinely profitable but whose personal tax returns don’t reflect that profitability.
• Asset Depletion Loans: If you have significant liquid assets (retirement accounts, investment portfolios, savings), some lenders will qualify you based on those assets rather than income. The lender divides your total liquid assets by the loan term to calculate a monthly “income” figure. This is particularly useful for business owners who have accumulated wealth but show modest income on paper.
• Portfolio Loans: These are loans that the lender holds on their own books rather than selling to the secondary market. Because they’re not subject to secondary market guidelines, portfolio lenders have much more flexibility in how they underwrite. Terms vary widely, and rates may be higher, but they can be a solution when other options fall short.

You can explore the full range of available loan options to understand which program aligns best with your income documentation situation.

Qualification Requirements for Self-Employed Borrowers in Texas

One of the most common questions self-employed borrowers ask is simply: what does it actually take to qualify? The answer depends on which program you’re pursuing, but there are consistent benchmarks across most non-QM products that you can use to assess your readiness before you ever sit down with a lender.

Most non-QM lenders in Texas require a minimum of two years of self-employment history. This is the standard benchmark across the industry, though some programs will consider borrowers with 18 months of documented history if other qualifying factors are strong—a high credit score, significant liquid reserves, or a lower loan-to-value ratio. The two-year requirement exists because lenders want to see that your business has survived at least one full business cycle and that your income is genuinely sustainable.

Credit score requirements for non-QM products typically start at 620, though borrowers with scores of 660 and above will see meaningfully better rates and terms. Debt-to-income ratios for non-QM loans often allow up to 50%, compared to the 43% ceiling for most conventional loans—a significant advantage for self-employed borrowers who carry business expenses. Down payment requirements range from 10% to 30% depending on your credit tier and the specific program.

Documentation You’ll Need to Gather

Documentation is where the non-QM process differs most from conventional lending. Here’s what you should start gathering before you even contact a lender:

• 12–24 months of business bank statements — This is the foundation of a bank statement loan. The more months you can provide, the more complete the picture of your income. Make sure these are actual bank statements from your financial institution, not downloaded CSV files.
• 2 years of personal tax returns — Even for non-QM loans, most lenders request personal tax returns for verification purposes. They may not use the net income figure to qualify you, but they want to see the full financial picture.
• 2 years of business tax returns or profit & loss statements — Depending on your business structure (sole proprietor, LLC, S-Corp, etc.), you may need business returns in addition to personal ones. A current P&L prepared by your CPA strengthens your application significantly.
• Proof of business ownership — A business license, articles of incorporation, partnership agreement, or DBA registration. Lenders need to verify that the business is real and that you’re the owner, not just an employee.
• Any W-2 income documentation — If you have any employment income alongside your self-employment income, include recent pay stubs and W-2s. This can only help your application.

Credit Score and Debt-to-Income Considerations

Your credit score has an outsized impact on non-QM pricing. A 620 score will get you approved at many non-QM lenders, but you’ll pay a significant rate premium compared to a borrower with a 700+ score. If your score is currently in the 620–650 range, it may be worth spending 6–12 months improving it before applying—the rate difference can amount to tens of thousands of dollars over the life of the loan.

DTI calculations for non-QM loans work differently than conventional. Because lenders may use gross deposits (minus an expense factor) rather than tax return net income, your qualifying income is often higher, which naturally reduces your DTI. Existing business debt—business loans, lines of credit, equipment financing—does count toward your DTI ratio, so be prepared to document all of your business liabilities. Some lenders allow compensating factors like a large down payment or significant liquid reserves to offset a higher DTI or a lower credit score. If you want to understand how these factors interact before speaking with a lender, the Ask a Professional resource can help you get preliminary guidance.

Pricing, Rates, and Costs: What to Expect in 2026

Non-QM loans come with real trade-offs, and being clear-eyed about those trade-offs is essential to making a good decision. The most significant is the rate premium. In 2026, bank statement loan rates in Texas generally range from approximately 5.5% to 8.5% depending on your credit tier, loan-to-value ratio, and the specific lender. Non-QM rates typically run 1.5% to 3% higher than conventional rates for the same credit profile—a meaningful difference that you need to factor into your decision.

On a $400,000 loan, a 1.5% rate premium translates to roughly $75–$150 more per month in mortgage payments. Over five years, that’s $4,500–$9,000 in additional interest. That’s real money—but as we’ll explore in the next section, it needs to be weighed against the cost of not buying at all.

Breaking Down the Rate Premium

The rate premium on non-QM loans reflects the lender’s perception of documentation risk—not necessarily your actual creditworthiness. When a lender uses bank statements instead of tax returns, they’re accepting a slightly less standardized form of income verification, and they price that into the rate. The good news is that several factors can reduce that premium:

• Lower LTV (larger down payment): Putting 25–30% down instead of 15% can reduce your rate by 0.25%–0.75% on many non-QM products. The lender has more equity protection, which reduces their risk.
• Higher credit score: Moving from a 660 to a 720 credit score can reduce your rate by 0.5%–1% on non-QM products. Credit score tiers create significant pricing variation.
• Lender competition: The DFW market has a healthy concentration of non-QM lenders, and competition has improved rates for self-employed borrowers compared to 2023–2024. Shopping multiple lenders is essential.
• Loan amount: Larger loan amounts (jumbo territory, $806,500+ in most Texas counties) may carry additional rate premiums. If you’re looking at higher-priced properties in Westlake or Southlake, explore jumbo loan options that may offer more competitive terms for your situation.

Hidden Costs and Fees to Watch For

Beyond the interest rate, non-QM loans carry several costs that conventional borrowers don’t typically encounter:

• Higher origination fees: Non-QM origination fees often run 1–2% of the loan amount, compared to 0.5–1% for conventional loans. On a $400,000 loan, that’s an additional $2,000–$4,000 at closing.
• Processing and underwriting fees: The additional complexity of non-QM documentation review often results in higher processing fees. Ask for a complete fee disclosure upfront.
• Prepayment penalties: This is the one that catches borrowers off guard most often. Most non-QM lenders include prepayment penalties—typically covering the first 1–3 years—to protect their yield on higher-rate loans.

The Cost of Waiting vs. Getting a Non-QM Loan Now

Many self-employed borrowers assume the right move is to wait—to clean up their tax returns, build more business history, or save a larger down payment until they can qualify conventionally. That instinct is understandable, but in the DFW real estate market, waiting has a real and quantifiable price tag.

DFW home prices have historically appreciated at 3–5% annually. On a $500,000 home, that’s $15,000–$25,000 in appreciation per year. Rental costs in the DFW area average $1,800–$2,500 per month and increase 3–4% annually. Every month you rent while waiting to qualify conventionally is a month you’re paying someone else’s mortgage instead of building your own equity.

Real-World Scenario: The 24-Month Delay Impact

Let’s run the numbers on a concrete scenario. A self-employed borrower in the DFW area is considering a $500,000 home purchase in 2026. They have two choices:

The total opportunity cost of waiting—rent paid plus appreciation lost—is roughly $98,000–$110,000. The non-QM loan’s rate premium costs approximately $75–$150 more per month. At that math, the non-QM loan now is almost always the better financial decision for a self-employed borrower in an appreciating market. You can use the home value comparison tool to run scenarios based on current DFW market data.

Top Self-Employed Mortgage Lenders in Dallas-Fort Worth: Compared and Reviewed

The DFW market has a meaningful concentration of non-QM specialists, which is good news for self-employed borrowers. But lender selection matters enormously in this space. The difference between an experienced non-QM underwriter and a generalist loan officer who occasionally handles bank statement loans can mean the difference between a smooth closing and a loan that falls apart at the last minute—taking your earnest money and your timeline with it.

Here’s an honest look at the key players serving self-employed borrowers in the DFW area in 2026. Comparing at least 3–5 lenders before committing is essential—not just for rate, but for expertise, communication, and track record with complex documentation scenarios.

Oasis Home Mortgage

Location: 7 Greenbriar Ct, Trophy Club, TX 76262 | Serving the DFW metro including Grapevine, Roanoke, Southlake, Westlake, Colleyville, Argyle, and Keller

Oasis Home Mortgage’s local expertise in non-QM lending makes them the standout local specialist for self-employed borrowers in the DFW area. Based in Trophy Club, they have intimate knowledge of the North Texas market and a deep understanding of the documentation challenges that business owners face. Rather than applying a one-size-fits-all approach, Oasis is known for working through complex scenarios—the contractor with seasonal income, the physician who recently started a private practice, the real estate investor with multiple income streams.

Their product menu includes bank statement loans, 1099 loans, P&L loans, and asset depletion programs. Borrowers consistently praise their accessibility, responsiveness, and willingness to explain the process clearly rather than leaving clients in the dark. For self-employed borrowers who’ve been burned by lenders who didn’t understand their situation, Oasis offers a genuinely different experience. You can learn more about their background and approach before reaching out.

Caliber Home Loans

Location: Multiple DFW area branches with national presence

Caliber is a large national lender with a broad non-QM product suite that includes bank statement loans, portfolio programs, and jumbo options. Their scale gives them access to programs that smaller lenders can’t offer, and their processing infrastructure means competitive closing timelines for borrowers who qualify cleanly. The trade-off is the service experience—at a company of Caliber’s size, you’re more likely to work through a process than with a person. Borrowers with straightforward non-QM scenarios who prioritize rate competitiveness often do well with Caliber; borrowers with complex or unusual documentation situations may find the experience less personalized.

Angel Oak Home Loans

Location: National lender with DFW service area coverage

Angel Oak is one of the most recognized names in the non-QM lending space nationally, and for good reason. They have a dedicated underwriting team focused exclusively on non-QM products, which means their underwriters have seen virtually every variation of self-employed income documentation. They’re particularly well-regarded for approving loans that other lenders decline—a meaningful differentiator for borrowers with complex scenarios. The trade-off is processing time: their specialization means a more thorough review, and closing timelines can run slightly longer than generalist lenders. Their product menu includes bank statement loans, 1099 loans, bank statement jumbo loans, and asset depletion programs.

Plaza Home Mortgage

Location: National lender with established DFW market presence

Plaza is known for consistent, predictable underwriting guidelines—which is actually a significant advantage for self-employed borrowers who’ve experienced inconsistent treatment from other lenders. If Plaza says they can do your loan, they typically follow through. Their portfolio loan offerings are particularly strong for borrowers seeking longer-term rate locks or unusual loan structures. Rates are competitive but not always the lowest in the market; their value proposition is reliability and process consistency rather than being the cheapest option.

Local DFW Mortgage Brokers (Independent Specialists)

Independent mortgage brokers occupy a unique position in the non-QM market. Rather than lending their own money, they submit your application to multiple wholesale lenders simultaneously—which means they can shop your scenario across 10+ non-QM programs to find the best fit. The best DFW brokers are genuinely invaluable for complex self-employed scenarios; they know which wholesale lenders are most flexible on specific documentation types, and they can often find approvals that direct lenders miss.

The caveat: broker quality is highly variable. A great broker with deep non-QM expertise is one of the best resources a self-employed borrower can have. A mediocre broker who dabbles in non-QM can waste weeks of your time. Always verify NMLS licensing and ask for references from self-employed borrowers specifically. The recommended professionals directory can help you identify vetted local resources in the DFW area.

How to Verify Lender Credentials and Protect Yourself

The non-QM lending space attracts both genuine specialists and operators who lack the expertise to handle complex self-employed scenarios competently. Spending 10–15 minutes verifying a lender’s credentials before you share your financial documents is not paranoia—it’s basic due diligence that can save you from a failed closing, lost fees, or worse.

All mortgage loan originators in Texas must be licensed through the Nationwide Mortgage Licensing System (NMLS). You can verify any lender’s license status, branch locations, and disciplinary history at nmlsconsumeraccess.org—it’s free, takes minutes, and gives you access to the lender’s complete regulatory history.

Step-by-Step NMLS License Verification

1. Visit nmlsconsumeraccess.org and use the search function to look up the company name or the individual loan officer’s name.
2. Verify that the license is currently active—not expired, suspended, or revoked. An expired license is a serious red flag.
3. Check the license type. It should be “Mortgage Loan Originator” (MLO) or “Mortgage Broker.” If the license type doesn’t match what they’re claiming to do, investigate further.
4. Review any disciplinary actions, complaints, or enforcement orders listed in the public record. A single complaint isn’t necessarily disqualifying; a pattern of complaints is.
5. Confirm that the lender’s branch address matches what they’ve provided to you. Discrepancies between the NMLS record and the address they give you warrant clarification.

Texas-Specific Protections and Regulations

Texas has a robust regulatory framework for mortgage lending that provides meaningful consumer protections. The Texas Department of Savings and Mortgage Lending (TDSML) oversees all Texas-licensed MLOs and maintains its own public database at tdsml.texas.gov. Under the Texas Finance Code, all MLOs are required to carry errors and omissions (E&O) insurance and maintain surety bonds—financial accountability measures that protect borrowers.

Even non-QM lenders must comply with federal Ability-to-Repay (ATR) rules, which require lenders to make a reasonable determination that you can actually repay the loan. This is important: “non-QM” does not mean “no rules.” It means alternative documentation methods, not no documentation at all. If a lender tells you they don’t need to verify your income at all, that’s a serious red flag.

If you experience problems with a lender, you have recourse through TDSML complaints, CFPB complaints at consumerfinance.gov, and the Texas Deceptive Trade Practices Act (DTPA), which provides legal remedies for borrowers subjected to unfair or deceptive practices. You can also explore the local resources page for additional Texas-specific consumer protection information.

Red Flags: What to Avoid When Choosing a Self-Employed Mortgage Lender

Knowing what good looks like is important. Knowing what bad looks like is equally important. The non-QM space has its share of operators who either lack the expertise to close complex loans or who use misleading tactics to capture business they can’t actually deliver on. Here are the warning signs to watch for.

Common Bait-and-Switch Tactics in Non-QM Lending

• The rate that moves at closing: You’re quoted one rate at pre-approval and a significantly higher rate appears at closing. This is why written rate locks are non-negotiable. Always get a rate lock in writing before you proceed past pre-approval.
• Fees that appear only at closing: Federal law requires lenders to provide a Loan Estimate within three business days of your application. If fees appear at closing that weren’t disclosed in the Loan Estimate, that’s a regulatory violation—not just bad service.
• Last-minute documentation requests: Some lenders approve you quickly to capture your business, then request additional documentation close to closing that they knew they’d need from the start. This can delay or kill your closing.
• Programs that sound too good to be true: “No income verification needed” or “guaranteed approval” are phrases that should immediately raise your guard. Legitimate non-QM lenders verify income through alternative methods—they don’t skip income verification entirely.

Questions to Ask Every Lender Before Committing

Before you commit to a lender, ask these specific questions and pay attention to how they respond—not just what they say:

• How many self-employed borrowers have you funded in the past 12 months? (A specialist should be able to answer this confidently and specifically.)
• What is your average closing timeline for non-QM bank statement loans?
• Can you provide a written rate lock for at least 30 days?
• What are all the fees, and are any of them refundable if the loan doesn’t close?
• Do you have experience with my specific business type—contractor, real estate professional, medical practice, or otherwise?
• What is your prepayment penalty structure, and are there options to reduce or eliminate it?

A lender who hesitates on these questions or gives vague answers is telling you something important. A lender with genuine non-QM expertise will answer them directly and completely. You can also review the mortgage glossary to familiarize yourself with the terminology before these conversations so you can evaluate answers more confidently.

The Application and Underwriting Process for Self-Employed Borrowers

Understanding what happens after you submit your application can reduce a lot of the anxiety that comes with the non-QM process. Non-QM underwriting typically takes 30–45 days, compared to 21–30 days for conventional loans. The additional time reflects the more thorough review of alternative income documentation—not a problem with your application.

Appraisals and title work proceed similarly to conventional loans. The key difference is in how underwriters evaluate your income documentation and what they’re specifically looking for in your bank statements.

What Underwriters Look For in Your Bank Statements

Non-QM underwriters are experienced at reading bank statements, and they know what legitimate business income looks like versus what raises questions. Here’s what they’re evaluating:

• Consistency of deposits: They want to see regular, recurring deposits that align with your stated business income. Wildly erratic deposits—$500 one month, $50,000 the next—will prompt questions about the nature of your income.
• Large, unexplained deposits: A single large deposit that doesn’t fit your normal pattern will raise questions. If it’s a business contract payment, a loan repayment from a client, or a personal transfer, be prepared to document it. Unexplained large deposits can affect your DTI calculation if they’re treated as loans.
• Business legitimacy indicators: Regular business expenses paid from the account—rent, payroll, supplies, insurance—support the narrative that this is a real, operating business. Underwriters are looking for evidence that your deposits come from genuine business activity.
• Account seasoning: Accounts that have been open for 12 months or more are preferred. A business account opened three months ago will require additional explanation and documentation of why you switched banks or opened a new account.

Preparing Your Documentation Package

The quality of your documentation package has a direct impact on your underwriting timeline and the likelihood of a smooth closing. Here’s how to prepare:

• Organize bank statements chronologically and make sure every page of every statement is included. Missing pages are one of the most common causes of underwriting delays.
• If your income is seasonal, growing, or has any gaps, prepare a 1–2 page business explanation letter. Write it in plain language, explain the nature of your business and income patterns, and address any anomalies proactively.
• Gather your business license, articles of incorporation, or partnership agreement. If your business is a sole proprietorship operating under a DBA, have your DBA registration ready.
• Have your personal and business tax returns organized and available, even if the lender primarily uses bank statements. Underwriters often request these for cross-reference.
• If there are significant discrepancies between your gross deposits and your net income (i.e., high business expenses), document those expenses clearly. A detailed P&L prepared by your CPA is valuable here.

If you’re unsure about any aspect of the documentation process, the Ask a Professional feature allows you to get specific guidance on your situation before you formally apply.

Texas-Specific Considerations and Homestead Protections

Texas has some of the strongest homestead protections in the country, and they affect how mortgages—including non-QM loans—are structured on primary residences. Understanding these protections before you purchase is important, particularly if you’re considering using home equity as a future financial tool for your business.

Texas also has no state income tax, which is actually an advantage for self-employed borrowers in the documentation process. There are no state tax returns to complicate your income picture, and the income you report federally is the income lenders work with. This simplifies the documentation process compared to states like California or New York, where state and federal returns may diverge significantly.

Understanding Texas Homestead Exemptions and Mortgage Limits

Texas homestead protections under Article XVI, Section 50 of the Texas Constitution limit how lenders can structure certain types of mortgage products on primary residences. The most important restriction for self-employed borrowers to understand is the cash-out refinance limitation: Texas restricts cash-out refinances on homesteads to specific conditions, and the total mortgage debt cannot exceed the fair market value of the property.

What this means practically: if you’re a self-employed business owner who plans to tap home equity to fund business operations or expansion, Texas homestead law limits your ability to do so through a standard cash-out refinance. Non-QM lenders are well-versed in these restrictions and will structure your loan accordingly—but it’s important to understand this limitation before you purchase, especially if accessing home equity is part of your financial plan. For borrowers who need flexible access to capital, private money loan options may offer alternative structures worth exploring.

DFW-Specific Programs and Incentives

Self-employed first-time homebuyers in the DFW area may have access to down payment assistance programs that can reduce the upfront cost burden of a non-QM loan. The Texas State Affordable Housing Corporation (TSAHC) offers down payment assistance programs for qualified borrowers, including those who are self-employed. Eligibility typically depends on income limits, purchase price limits, and credit history requirements.

The Texas Department of Housing and Community Affairs (TDHCA) administers additional programs that may include self-employed borrower support, though eligibility varies by program and income limits. Individual cities in the DFW metro—Dallas, Fort Worth, Arlington, and others—may also offer local first-time homebuyer programs with their own eligibility criteria. If you’re purchasing in a specific city, check with that city’s housing authority for available incentives. These programs can sometimes be layered with non-QM products, reducing your effective down payment requirement and making the overall cost more manageable.

Frequently Asked Questions About Self-Employed Mortgages in Texas