Home financing in San Miguel County.

Home financing is simply borrowing money to purchase or improve a home, with the property itself serving as collateral for the loan. The most common form is a mortgage: you make a down payment, a lender covers the rest, and you repay over 15 to 30 years with interest.

San Miguel County adds some important wrinkles. The median home price in the Telluride area regularly exceeds $1 million, driven by resort demand, limited buildable land, and a large share of second-home buyers. That means:

• **Conforming loan limits** — the standard cap set nationally each year — are often too low for local prices. You may need a jumbo loan or a portfolio loan held by a local lender.

• **Seasonal income** is the norm for many residents who work in ski, hospitality, construction, or tourism. Lenders who understand seasonal cash flow will serve you far better than national online lenders who expect a flat W-2 every month.

• **Workforce housing programs** exist precisely because the gap between local wages and local home prices is severe. San Miguel County and the Town of Telluride have both invested in affordable and deed-restricted housing, so it is worth checking whether any unit you are considering comes with resale restrictions or income limits.

Understanding this local context before you start shopping for a loan will save you time and frustration.

Qualification for a home loan depends on four main factors: credit history, income, debt load, and the property itself. Here is how each plays out in San Miguel County.

**Credit history:** Most conventional lenders want a score of 620 or higher.

FHA-backed loans (insured by the federal government, but originated by local lenders) can go as low as 580.

ITIN holders — people who file taxes with an Individual Taxpayer Identification Number rather than a Social Security number — can access ITIN mortgage programs offered by select lenders; credit history from foreign countries can sometimes be considered.

**Income:** Seasonal workers, self-employed contractors, and gig workers are common in this county. Lenders who serve mountain resort communities are generally comfortable with 1099 income, profit-and-loss statements, and bank statement loans (where 12–24 months of bank deposits are used instead of tax returns). If you are self-employed, plan to show two years of tax returns and a current profit-and-loss statement.

**Debt-to-income ratio (DTI):** Lenders typically want your total monthly debt payments (including the new mortgage) to stay below 43–50% of your gross monthly income. Seasonal workers sometimes struggle here; a local lender who understands the Telluride employment cycle can make a significant difference.

**Property type:** Condominiums in Telluride often require additional review, especially if the building has a high share of non-owner-occupied units. Vacant land financing is harder to obtain and usually requires 30–50% down. Deed-restricted workforce units have their own qualification criteria set by the county or town.

**Special note for ITIN holders:** You do not need a Social Security number to buy a home in Colorado. ITIN mortgage loans are legal, and several lenders in the region offer them. You will typically need two years of tax returns filed with your ITIN, a valid government-issued ID, and proof of consistent income.

Gathering your paperwork before you approach a lender saves weeks. Here is a practical checklist for San Miguel County applicants.

**For all borrowers:**

• Government-issued photo ID (driver's license, passport, or consular ID card — matrícula consular is accepted by ITIN lenders)

• Social Security number or ITIN

• Two most recent years of federal tax returns (all pages, all schedules)

• Two most recent years of W-2s or 1099s

• Two most recent months of pay stubs (if employed)

• Two most recent months of bank statements (all pages, all accounts)

• Proof of any additional income (rental income, alimony, seasonal bonuses)

**If self-employed or a contractor:**

• Two years of business tax returns

• Year-to-date profit-and-loss statement, prepared or signed by a CPA

• Business bank statements (12–24 months for bank-statement loan programs)

• Business license or DBA registration, if applicable

**For the property:**

• Purchase contract (once you have an accepted offer)

• HOA documents if the home is in a condo or planned community

• Well and septic records for rural properties outside Telluride town limits

• Any deed restriction or affordable housing covenant documents

**For ITIN borrowers, additionally:**

• ITIN letter from the IRS

• Two years of ITIN-filed tax returns

• Alternative credit references (utility bills, rent payment history, remittance records) if your U.S. credit file is thin