Home financing in Big Stone County.

Home financing simply means borrowing money to buy, build, or improve a home, then repaying it over time — usually 15 to 30 years — with interest. The lender holds a lien on the property until the loan is paid off.

In a rural county like Big Stone County, the financing landscape looks different from a metro area.

Home values are lower (the median is well under $100,000), which means some conventional loan programs set minimum loan amounts that can actually exclude buyers here. That makes it especially important to work with lenders who understand rural Minnesota and have experience with smaller loan sizes, agricultural land lines, and the unique mix of residential and working-land properties common in the county.

Programs through Minnesota Housing, USDA Rural Development, and local CDFIs often fill the gaps that big-bank products leave behind.

Big Stone County's economy is built around agriculture, small business, and public-sector employment.

Lenders here are accustomed to income that looks different from a standard W-2 paycheck.

If you are a self-employed farmer, a solo contractor, a seasonal worker, or someone who receives a mix of cash and documented income, you are not automatically disqualified — but you will need to document your income carefully.

**General qualifying factors most lenders look at:**

- Credit score (many programs accept 580–640 for government-backed loans; some ITIN lenders have their own benchmarks)

- Debt-to-income ratio (ideally below 43%, though some programs go higher)

- Stable income for at least 24 months, even if it is self-employment or farm income

- Down payment funds (as low as 0% for USDA loans in eligible rural areas — and most of Big Stone County qualifies)

**ITIN borrowers:** You do not need a Social Security number to buy a home. Some local lenders and CDFIs accept Individual Taxpayer Identification Numbers (ITINs) as a valid form of identification. Two years of tax returns filed with your ITIN, a steady income history, and a reasonable down payment (often 10–20%) are the typical starting requirements.

**Solo contractors and small investors:** Expect lenders to average your last two years of Schedule C or Schedule F (farm) income. A good local lender will walk you through how they calculate your qualifying income before you apply.

Gathering paperwork ahead of time saves weeks. The exact list varies by lender and loan type, but plan to have the following:

**For all borrowers:**

- Government-issued ID (driver's license, passport, or consular ID card)

- Social Security number or ITIN

- Last two years of federal tax returns (all pages, all schedules)

- Last two years of W-2s or 1099s

- Last 30–60 days of pay stubs (if W-2 employed)

- Last 2–3 months of bank statements (all accounts)

- Documentation of any other income (rental income, child support, disability, etc.)

- A signed purchase agreement or property address for the home you want to buy

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

- Two years of business tax returns (Schedule C, Schedule F, or full partnership/S-corp returns)

- A year-to-date profit-and-loss statement

- Business bank statements

**If using an ITIN:**

- ITIN card or IRS letter assigning your ITIN

- Two years of ITIN-filed tax returns

- Additional identity documents (some lenders ask for two forms of ID)

**For investment properties:**

- Current leases on any rental units

- Documentation of rental history or projected rental income

- Reserve funds (typically 3–6 months of mortgage payments in savings)