Buying a home in San Antonio when you're self-employed
Business owners, 1099 contractors, realtors, stylists, truckers and freelancers buy homes here every month. The trick is choosing the right loan path before you shop and writing an offer sellers trust.
By Kassie Johnson, REALTOR® · The GoldenEye Group at Barlowe Daly Realty · Updated October 20, 2026
The short answer
Yes, you can buy a home when you're self-employed. If your tax returns show strong income, a conventional loan is usually the lowest-cost option, and it generally uses two years of returns (sometimes one). If write-offs lower your taxable income, a bank statement loan may qualify you on 12 to 24 months of deposits instead. Those usually need a larger down payment, often 10% to 20%, and cash reserves. Talk to a lender who does both before you shop, so your pre-approval matches how you actually earn.
- Two main paths
- Tax returns or bank statements
- Bank statements
- 12 or 24 months, every page
- Typical down payment
- Often 10–20% on non-QM loans
- Best first step
- A lender who offers both
Home loans for self-employed buyers, compared
The right loan depends on one question: does the income on your tax returns reflect what you actually earn?
| Loan | How income is proven | Often a fit for | Keep in mind |
|---|---|---|---|
| Conventional (full documentation) | Personal and business tax returns, usually the last 2 years. One year can work in some cases. | Steady or rising income that shows up on your returns | Write-offs lower your qualifying income. Lowest rates and down payment options. |
| FHA or VA | Tax returns, similar to conventional | Veterans and buyers with smaller down payments | VA is often the strongest option for eligible self-employed veterans. |
| Bank statement (non-QM) | 12 or 24 months of personal or business bank statements; deposits averaged, minus an expense factor | Strong cash flow but low taxable income after deductions | Higher rates, larger down payment and reserves than conventional. |
| 1099-only (non-QM) | Your 1099 forms instead of full tax returns | Independent contractors paid on 1099s | Program rules vary widely by lender. |
| P&L statement (non-QM) | A profit and loss statement, often prepared or verified by a CPA or tax preparer | Business owners with clean books | Some lenders pair it with a few months of bank statements. |
Requirements, rates and down payments vary by lender and change often. This is general information, not a loan offer. Talk to a licensed mortgage loan originator about your situation.
Documents to gather before you apply
Having these ready can save days in underwriting and makes your pre-approval stronger.
Bank statements
12 or 24 months of consecutive statements from the account you'll use, every page, including blank ones.
Tax returns
The last 2 years, personal and business, with all schedules, even if you plan to use bank statements.
Proof of business
A business license, CPA or tax preparer letter, LLC filing or website showing you've been in business at least 2 years.
Year-to-date P&L
A current profit and loss statement. Some loans require one signed by a CPA.
Down payment trail
Two months of statements for the accounts funding your down payment and closing costs, with large deposits explained.
ID and credit
Driver's license and permission to pull credit. Check your reports for errors before you apply.
Six mistakes that slow down self-employed buyers
Shopping before talking to a lender
Your loan type decides your price range. Get a pre-approval that matches how you're paid before you tour homes.
Moving money around
Transfers between business and personal accounts, cash deposits and new accounts all need paper trails. Keep it simple for a few months.
Changing your business mid-loan
Switching from sole proprietor to an LLC or S corp, or changing how you pay yourself, can restart the clock with some lenders.
Opening new credit
Don't finance equipment, a truck or furniture between pre-approval and closing.
Ignoring reserves
Many self-employed loans want several months of payments left in the bank after closing.
A weak offer letter
Sellers may worry about non-traditional loans. A clear pre-approval and a lender who answers the listing agent's call make a big difference.
A REALTOR® who speaks self-employed
You run your own business, so you need an agent who understands non-traditional income and can explain it to sellers.
- I've closed these deals. Self-employed and bank statement buyers are a big part of my business, so I know where these files get stuck.
- The right lender intro. I'll connect you with lenders who offer both conventional and bank statement loans, so you can compare. You're always free to choose your own.
- Offers that hold up. I explain your financing to the listing agent up front and build in realistic timelines for appraisal and underwriting.
- Investors welcome. Buying a rental? DSCR loans qualify on the property's rent instead of your income. Ask me how they work.
Questions from self-employed buyers
Can I buy a house in San Antonio if I'm self-employed?
Yes. Self-employed buyers can use conventional, FHA or VA loans with tax returns, or a non-QM loan such as a bank statement, 1099 or P&L loan. The best fit depends on how much income shows on your tax returns.
How many years of self-employment do I need?
Most lenders want about 2 years. Fannie Mae can consider less than 2 years if your most recent tax returns show a full 12 months of income from the current business, and some bank statement programs accept 1 year if you worked in the same field before.
What is a bank statement loan?
A bank statement loan qualifies you using 12 or 24 months of personal or business bank deposits instead of tax returns. The lender averages your eligible deposits and applies an expense factor to estimate your income. Rates and down payments are usually higher than conventional loans.
How much do I need to put down?
Conventional loans can start around 3% to 5% down for qualified buyers. Bank statement loans commonly require 10% to 20% down, depending on credit score and lender, plus cash reserves. A lender can give you exact numbers.
Will my tax write-offs hurt my mortgage approval?
With a conventional loan, lenders generally qualify you on income after deductions, so large write-offs can lower your buying power. That's the main reason self-employed buyers look at bank statement loans.
Do sellers accept offers with bank statement loans?
Yes. A loan is a loan to the seller as long as it closes. A strong pre-approval letter, a responsive lender and realistic deadlines in the contract help your offer compete.
More ways I help San Antonio buyers
Sources: Fannie Mae Selling Guide B3-3.5-01, self-employed borrowers · NASB bank statement loan requirements · Zeitro bank statement mortgage guidelines 2026. Loan requirements are typical ranges and vary by lender; confirm with your lender.