Lone Star Financing

Texas Non-QM
Home Loans

Q: Income Verification for Non-QM Loans

One-Year Tax Return Program Requires personal and business tax returns from the past year, including all related schedules. Often necessitates a signed Profit and Loss statement for the business. 12-Month Bank Statement Program Accepts personal or business bank statements. Requires a Profit and Loss statement for the last 12 months or the previous year, plus year-to-date figures. Asset Qualifier Program (for purchasing or refinancing primary or second homes) Requires 60 days of account history. Allows 100% of vested retirement assets for borrowers over 59½ years old and 70% for those under 59½. Calculates eligibility using a 3% rate of return on assets, amortized over seven years.

Flexible mortgages designed for self-employed and complex income

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Texas Non-QM loans for self-employed and non-traditional borrowers

⭐ Top-Rated Texas Mortgage Broker for Non-QM Loans

Non-QM Loans in Texas | Flexible Mortgage Solutions for Self-Employed Borrowers

Non-QM loans offer flexible financing for creditworthy borrowers who fall outside traditional lending guidelines.
Unlike traditional mortgages, Non-QM loans focus on a borrower’s overall financial picture rather than rigid qualification rules.

Texas Non QM Loans:

Investors looking for Maximum LTV
Foreign Nationals or Visa Holders
Self-Employed Borrowers
Non-Warrantable Condos
Business owners and entrepreneurs
Buyers with complex income or assets

If you’re self-employed, a Non-QM loan may be a smart option, offering flexible financing for entrepreneurs, business owners, and independent contractors with unique income profiles.

Non QM Loans

MaX $3,000,000 LOAN SIZE

Qualification Guidelines:

Minimum FICO Credit Score

620 Minimum Down Payment

20%

Maximum Loan To Value

80%*

Maximum Debt To Income

50%*

Mortgage Insurance

No

Days Since Bankcruptcy

1 Days Since Foreclosure

1 Days Since Short Sale

1 Special Qualification Requirements

NONE

Texas Non QM Loan Specialists

Non-QM Program Types

Bank statement loans (personal or business)
DSCR loans for real estate investors
Asset-based loans
Interest-only loans
1099 income loans
Foreign national loans
Jumbo Non-QM loans

Why Borrowers Choose Non-QM Loans

Flexible income documentation options
Alternative credit evaluation methods
Higher loan limits available
Interest-only options to improve cash flow
Solutions when tax returns don’t reflect true income
Financing options after recent credit events

Close on Time

Streamlined processing to close loans fast - close in as few as 21 days or less.

Low Rates

Low rates for non-QM loans in Texas - Low rates with flexible terms and fast closings.

Flexible Qualifications

Non-QM loans offer flexible underwriting and alternative income documentation for borrowers with complex financial situations and financing needs.

Service

Local Texas customer service for Non-QM home loans in Texas - Just see what our customers are saying!

Things to know about Non-QM Loans in Texas
- Benefits and requirements

What is a Non-QM Loan

If you’re self-employed, a Non-QM loan in Texas could be an ideal option for you. These loans are tailored for individuals with unique income scenarios—such as entrepreneurs, independent business owners, and contractors—and offer flexibility. Non-QM loans in Texas are not bound by the stringent income verification rules of traditional loans set by the Consumer Financial Protection Bureau. This makes them an adaptable choice for those with unconventional income patterns or major credit incidents like bankruptcy or foreclosure.

Qualified vs Non Qualified Mortgages

A Non-QM loan in Texas offers flexible income verification alternatives to the standard methods used by traditional QM loans, making it easier for borrowers in Texas to qualify for a mortgage. Since these loans are not backed by government agencies like the FHA or Fannie Mae, they provide unique lending options without standard government support.

Who May Benefit from a Non-QM Loan?

Self-employed individuals in Texas often face challenges securing traditional mortgages due to irregular income and multiple income sources. They may opt for loans based on bank statements rather than tax returns.

Prime borrowers with excellent credit who prefer options like interest-only payments or have a higher debt-to-income ratio find Non-QM loans appealing.

Near-prime or non-prime borrowers—such as those with limited credit history, recent bankruptcy, or a distressed property sale—are also good candidates for Non-QM loans.

Borrowers in Texas with significant assets and strong credit might choose a Non-QM loan to maintain cash flow flexibility instead of purchasing a home outright.

How Do Non-QM Loans Work?

Non-QM loans are ideal for homebuyers who don’t have traditional income proof required for a conventional loan in Texas, which adheres to strict federal guidelines. These loans use alternative income verification methods to help more people qualify for a mortgage. Features like longer loan terms and interest-only payments can also aid in qualification. Remember, terms vary by lender, so it’s important to review your specific agreement carefully.

Income Verification for Non-QM Loans

One-Year Tax Return Program

Requires personal and business tax returns from the past year, including all related schedules.
Often necessitates a signed Profit and Loss statement for the business.

12-Month Bank Statement Program

Accepts personal or business bank statements.
Requires a Profit and Loss statement for the last 12 months or the previous year, plus year-to-date figures.

Asset Qualifier Program (for purchasing or refinancing primary or second homes)

Requires 60 days of account history.
Allows 100% of vested retirement assets for borrowers over 59½ years old and 70% for those under 59½.
Calculates eligibility using a 3% rate of return on assets, amortized over seven years.

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Real feedback from Lone Star Financing clients across Texas.

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Outstanding experience with Lone Star Financing, thanks entirely to Brett. He did a phenomenal job from start to finish. His knowledge, creativity, and experience made all the difference when challenges arose.

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As a realtor in Austin, I’ve worked with Lone Star Financing for nearly a decade. Their loan officers are among the best communicators in the business and consistently provide timely updates throughout the process.

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Great experience working with Lone Star Financing. The team was knowledgeable, responsive, and made the entire process smooth from start to finish. Highly recommend for anyone looking for a reliable mortgage broker.