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San Antonio · Austin · Central Texas

You Built Your Business.
Now Let's Build Your Home.

Home loans designed for self-employed buyers — 1099 earners, sole proprietors, S-Corp owners, and LLC partners across South and Central Texas.

Take the Readiness Quiz How It Works
1099Income Accepted
Bank StmtLoan Options
VA · FHA · ConvLoan Programs
Why It's Different

Being Self-Employed Doesn't Mean "Unqualified"

Traditional lenders often struggle with non-W2 income. Angel Chandler specializes in exactly this — understanding your full financial picture and finding the loan that fits.

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1099 & Schedule C Income

Freelancers, independent contractors, and sole proprietors — we know how to read your tax returns to show your true qualifying income.

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Business Owners Welcome

S-Corps, partnerships, and LLCs — we analyze your 1120S and 1065 returns, including K-1 distributions, to build your qualifying income.

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Alternative Documentation Options

High deductions reducing your taxable income? You have options beyond conventional lending. The most common non-traditional programs include bank statement loans, one-year 1099 loans, 12-month P&L statement loans, asset utilization, asset depletion, and one-year tax return programs — each designed for a different financial picture.

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VA Loans for Veterans

Self-employed veterans in the San Antonio area deserve every VA benefit available. We know how to combine VA eligibility with self-employment income documentation.

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Local Texas Expertise

Deep knowledge of San Antonio, Austin, and surrounding county markets — from Bexar to Travis, Comal to Hays.

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Education First

You'll know exactly what lenders look at, what documents you need, and what to expect before you ever submit a full application.

The Process

What to Expect Step by Step

From first conversation to closing day — here's how we guide self-employed buyers through the process.

1

Complete the Readiness Quiz

Our guided questionnaire walks you through the exact questions a loan officer will ask. You'll know what documents you need before our first call.

2

Income Analysis & Strategy Call

Angel reviews your business structure, tax returns, and financial picture to identify the strongest qualifying path — conventional, bank statement, or government-backed.

3

Gather Documentation

Based on your business type (1099, S-Corp, Partnership), you'll receive a personalized document checklist. No guessing, no surprises.

4

Pre-Approval

A verified pre-approval letter that sellers and real estate agents respect — backed by real income documentation, not estimates.

5

Close on Your Home

Angel stays with you from contract to keys. You'll never wonder what's happening or what's needed next.

Start Your Readiness Quiz →
Common Questions

Self-Employed Home Buyers Ask Us…

Yes — and this is one of the most common situations we help with. If your taxable income after deductions is low, a non-traditional loan like a bank statement loan, 1099 loan, P&L statement loan, or asset depletion loan may be the perfect fit. For conventional loans, we review your tax returns carefully, often adding back depreciation and non-cash deductions to increase your qualifying income.
Most conventional and government-backed loans require two years of self-employment history, documented by two years of personal and business tax returns. If you recently transitioned from W2 to self-employment, we can sometimes use a blended income approach depending on your industry and documentation.
A 1099 earner (sole proprietor) reports income on Schedule C of their personal return. An S-Corp owner files a separate 1120S business return and receives a K-1. The documentation needed differs — and so does how lenders calculate your qualifying income. Our guide explains both in detail.
Not at all. Minimum credit requirements vary by loan type — FHA loans can go as low as 580 FICO with the right down payment. The more important factors for self-employed borrowers are consistency of income, two years in business, and solid documentation.
Line 8 of your Form 1040 reflects your business income or loss from Schedule C (or K-1 pass-throughs). Mortgage lenders use this number — along with any allowable add-backs like depreciation — to determine your qualifying business income. A negative number here is a red flag for lenders, while a strong positive supports a higher loan approval. We'll walk you through exactly what this means for your situation.
Full Self-Employed Guide →
The Complete Guide

Self-Employed Home Buying in Texas

Everything you need to know about how lenders evaluate your income, what documents to gather, and how to put your best financial foot forward.

Business Structure Matters

How Your Business Is Taxed Determines Your Loan Path

The first thing a loan officer will determine is how your business files taxes. This determines which documents are needed and how your income is calculated.

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1099 / Sole Proprietor (Schedule C)

If you receive 1099 forms and report your business activity on Schedule C of your personal 1040, this is your path. Lenders will review:

  • Last 2 years of personal tax returns (1040 — all pages)
  • Schedule C for both years — all pages required
  • Year-to-date Profit & Loss statement
  • 2 months business bank statements
📌 Lenders average your Schedule C net income over 2 years, then add back non-cash deductions like depreciation.
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S-Corporation (Form 1120S)

If your business files a separate Form 1120S, you're an S-Corp owner. Lenders look at your W2 wages from the business PLUS your share of the corporation's income from the K-1:

  • Last 2 years of personal tax returns (1040)
  • Last 2 years of 1120S business returns — all pages
  • K-1 schedules for both years
  • Year-to-date P&L statement
📌 Only your ownership percentage of the business income is counted — and only if the business shows sufficient cash flow.
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Partnership (Form 1065)

Partnerships file a Form 1065 return and issue K-1s to each partner. Your qualifying income comes from your K-1 plus any guaranteed payments:

  • Last 2 years of personal tax returns (1040)
  • Last 2 years of 1065 partnership returns
  • K-1 for your ownership percentage — both years
  • Year-to-date P&L statement
📌 Lenders will verify your ownership percentage and confirm the business has the liquidity to support your income draw.
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LLC (Single or Multi-Member)

LLCs are flexible — they're taxed as sole proprietorships (Schedule C), partnerships (1065), or S-Corps (1120S) depending on elections made. The document requirements follow the tax treatment, not the LLC label.

📌 Tell your loan officer how your LLC files taxes — that determines the exact document checklist.
The Deduction Dilemma

Do You Take a Lot of Deductions?

This is one of the most important questions a loan officer will ask — and the honest answer shapes your entire loan strategy.

Why Deductions Can Reduce Your Qualifying Income

Self-employed borrowers often minimize taxable income through legitimate business deductions — home office, vehicle use, equipment, travel, meals, and more. While great for tax purposes, a lower taxable income can reduce how much home you qualify for on a conventional loan.

Lenders calculate your income from your tax return. If your Schedule C shows $45,000 in net income after $80,000 in deductions, lenders generally start with the $45,000 number — not your gross revenue.

Add-Backs That Help: Depreciation, depletion, amortization, and certain business-use-of-home expenses are non-cash deductions that lenders may add back to your qualifying income.

The Bank Statement Loan Alternative

If your tax returns show low income due to heavy deductions, a bank statement loan calculates your income from 12 or 24 months of business bank deposits instead. This often reveals much higher qualifying income for cash-strong business owners.

  • 12 or 24 months bank statements reviewed
  • A standard expense ratio (typically 40–50%) is applied
  • No tax returns required for income qualification
  • Slightly higher interest rates than conventional
This is one of the most valuable tools we have for self-employed buyers whose tax returns understate their real financial strength.
Your Tax Return Decoded

Understanding Line 8 on Page 1 of Your 1040

When a loan officer reviews your tax return, one of the first things they check is Line 8 on the first page of your Form 1040. This line reflects your net business income or loss — the number that flows from your Schedule C, Schedule E (partnerships/S-Corps), or other business schedules.

Is Line 8 a Positive or Negative Number?

✅ Positive Number

Your business showed a net profit. Lenders can use this income to qualify you — the higher, the better.

⚠️ Negative Number

A business loss — but don't stress, that's okay! It just means we go a non-traditional route like a bank statement loan.

Mortgage lenders look at this number to determine what can be used as qualifying business income. This is why understanding your Schedule C — and potentially restructuring deductions before applying — matters so much. Talk to your CPA and your loan officer together for best results.
Take the Readiness Quiz to Evaluate Your Situation →
Pro Tips

How to Strengthen Your Application Before You Apply

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File Taxes Early

Lenders need the most recent year's returns. Filing extensions delay your process. File early — even if you owe — to keep your timeline on track.

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Separate Business & Personal Accounts

Clean, separate bank accounts make income verification straightforward. Commingled accounts create questions that slow approvals.

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Show Increasing Income

Lenders prefer rising income over two years. If Year 2 is significantly higher, they often average the two. If Year 2 is lower, they may use only the most recent year.

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Watch Your Credit Utilization

Business credit cards are often personal guarantees. Keep balances below 30% of limits to protect your personal credit score.

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Talk to a CPA Before Applying

A proactive conversation with your accountant 6–12 months before buying a home can significantly change your qualifying income picture.

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Get Pre-Qualified First

Before you house-hunt, know your number. A real conversation with Angel can prevent disappointment and help you make smart moves before formally applying.

Loan Programs

Loans Built for Your Business Life

From conventional income averaging to bank statement and VA loans — here are the programs most relevant to self-employed buyers in Texas.

Conventional Self-Employed Loan

Fannie Mae / Freddie Mac Guidelines

The standard path for self-employed buyers with solid tax returns. Lenders average two years of qualifying business income (after add-backs), with the best rates and terms when income is consistent.

Best for: Business owners with 2+ years of growing or stable tax return income.

2-yr tax returnsSchedule C/K-1

Bank Statement Loan

Non-QM / Portfolio Product

Uses 12 or 24 months of business or personal bank deposits to calculate income — bypassing tax returns entirely. Ideal for high-deduction business owners whose returns understate real cash flow.

Best for: Business owners with strong deposits but low taxable income.

No tax returns for income12–24 mo deposits

FHA Loan (Self-Employed)

Federal Housing Administration

FHA loans have flexible credit requirements and accept self-employment income with the standard 2-year history. A strong option for first-time buyers who are self-employed.

Best for: Self-employed first-time buyers or those with credit scores in the 580–679 range.

580+ FICO2-yr self-emp history

VA Loan (Self-Employed Veterans)

U.S. Department of Veterans Affairs

Self-employed veterans and service members can use their VA benefit. Lenders calculate income from tax returns and may include business income add-backs. Angel specializes in VA loans across the San Antonio military community.

Best for: Eligible veterans/active duty who are self-employed — especially in the San Antonio military corridor.

No PMIVA eligibleBusiness income OK

1099 Income Loan

Alternative Income Documentation

Some lenders offer programs that use 1099 forms directly — without requiring full tax returns — to calculate income for independent contractors and gig workers. A useful option when tax returns show significant write-offs.

Best for: 1099 contractors with consistent income but high Schedule C deductions.

1099s as income docs2-yr 1099 historyFlexible guidelines

DSCR Investment Loan

Debt-Service Coverage Ratio

For self-employed investors buying rental properties — DSCR loans qualify based on the property's rental income, not your personal income. No tax returns or employment verification required.

Best for: Self-employed real estate investors expanding a rental portfolio.

No personal income neededRental property
Not sure which loan fits your situation? Take our free Readiness Quiz — it takes about 5 minutes and gives you a personalized document checklist and loan direction before you ever speak with a lender.
→ Take the Quiz
Free · Takes ~5 Minutes

Self-Employed Readiness Quiz

Answer the same questions your loan officer will ask. You'll get a personalized document checklist and a clear picture of your next steps.

Question 1 of 9 — Business Structure
Do you receive 1099 income or file as a sole proprietor?
This helps us identify which tax forms and schedules you'll need to provide.
Question 2 of 9 — Business Tax Return Type
If your business files a separate tax return, what type does it file?
If you answered "Yes — 1099/Schedule C" on the previous question, you can skip this and click Next.
Question 3 of 9 — Deductions
Do you take significant deductions on your tax returns?
Think about: home office, vehicle mileage, equipment, meals, travel, or other business expenses you write off. Heavy deductions reduce your taxable income — which lenders use to calculate how much home you qualify for.
Question 4 of 9 — Your 1040, Page 1
On the first page of your Form 1040, what does Line 8 show?
Line 8 is labeled "Other Income" on recent 1040 forms and reflects your net business income or loss (from Schedule C, Schedule E K-1s, or other business activity). Pull out last year's 1040 and check page 1 if you have it handy.
Why this matters: Mortgage lenders look at this number to see what can be used for business income. A positive number supports your qualification. A negative number (a business loss) reduces your qualifying income and can impact what you're approved for.
Question 5 of 9 — Income Trend
How has your business income trended over the last two years?
Lenders compare your most recent year to the prior year. The direction matters.
Question 6 of 9 — Credit & Down Payment
What best describes your credit profile?
Question 7 of 9 — VA Eligibility
Are you a veteran, active duty service member, or surviving spouse?
VA loans offer significant advantages — $0 down, no PMI, competitive rates. Self-employed veterans absolutely qualify with proper documentation.
Question 8 of 9 — Location
Where are you looking to buy a home?
Question 9 of 9 — Get Your Results
Where should we send your personalized document checklist?
Angel Chandler will review your responses and reach out with your personalized checklist and loan path recommendations. No obligation, no hard credit pull at this stage.
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Your Readiness Summary

Based on your answers, here's your personalized document checklist and recommended next steps.

📋 Your Document Checklist

    🎯 Recommended Loan Path

    Angel Chandler | NMLS #1903293
    Angel will review your quiz results and reach out within one business day.
    📞 (903) 456-7888  ·  ✉️ achandler@loandepot.com
    This is not a credit application — no hard pull occurs at this stage.
    Talk to Angel Now
    Texas Service Area

    San Antonio, Austin & All of Central Texas

    Serving self-employed home buyers across South and Central Texas — from Bexar County to Travis and every county in between.

    San Antonio Metro

    South Texas Market

    San Antonio is one of the fastest-growing cities in the U.S. — and home to one of the country's largest military communities. Angel specializes in self-employed and VA lending across the entire metro.

    Bexar County

    The heart of San Antonio. From the Medical Center corridor and Stone Oak to the South Side and downtown — all zip codes served.

    Comal County

    New Braunfels and Canyon Lake — rapidly growing communities just north of San Antonio with strong demand from both locals and Austin relocators.

    Kendall County

    Boerne and Comfort — Hill Country living with easy I-10 access to San Antonio. Popular with business owners seeking space and privacy.

    Austin Metro

    Central Texas Market

    Austin's thriving tech and entrepreneur economy makes it a natural fit for self-employed home buyers. Angel serves the full Austin metro and surrounding counties.

    Travis County

    Austin proper, plus Pflugerville, Manor, and Bee Cave. Home to tech founders, creative professionals, and entrepreneurs of all stripes.

    Williamson County

    Round Rock, Cedar Park, Georgetown, and Leander — some of the most active housing markets in the state with strong self-employed buyer demand.

    Hays County

    Kyle, Buda, San Marcos, and Wimberley — the fast-growing I-35 corridor between Austin and San Antonio, attractive to commuters and remote workers alike.

    Full Service Area

    All Counties We Serve

    Licensed in Texas and serving buyers across the state, with deep expertise in these counties:

    Bexar County Comal County Kendall County Medina County Atascosa County Wilson County Guadalupe County Travis County Williamson County Hays County Bastrop County Caldwell County
    FAQs by Market

    Local Market Questions

    Yes — San Antonio has grown significantly and inventory remains tight in popular areas like Stone Oak, Alamo Ranch, and the Northside. Self-employed buyers benefit from a verified pre-approval (not just pre-qualification) that shows sellers your income has been properly documented. Angel can provide this level of approval upfront.
    Absolutely. Many veterans around JBSA, Fort Sam Houston, Lackland, and Randolph transition to self-employment after service. VA loans can absolutely be used with self-employment income — lenders simply document income from your tax returns instead of a W2. Angel has specific experience helping the veteran entrepreneur community navigate this.
    Yes — especially in Williamson and Hays Counties, which offer better affordability while remaining within the Austin metro. Bank statement loans can also help tech founders and gig economy workers whose tax returns don't fully reflect their cash flow. The Austin suburbs (Round Rock, Cedar Park, Kyle) are very active markets for self-employed buyers right now.
    No Obligation · Free Consultation

    Talk to Angel Chandler

    Get real answers about your self-employed home loan options — no automated runaround, just a direct conversation with a loan officer who specializes in your situation.

    Angel Chandler, Mortgage Loan Officer NMLS #1903293
    Angel Chandler
    Mortgage Loan Officer · Self-Employed Specialist
    NMLS #1903293
    🏙️ San Antonio Area — Bexar, Comal, Kendall Counties
    🎸 Austin Area — Travis, Williamson, Hays Counties
    🎖️ VA Loan Specialist — Military Community
    📋 1099 · S-Corp · Partnership Income Expert

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    Fill out the form below and Angel will be in touch within one business day. Or reach out directly: