Home financing in Franklin County.

Home financing is the process of borrowing money to purchase, refinance, or improve a residential property. In Franklin County, that usually means a mortgage — a loan secured by the home itself. You agree to repay the lender over a set number of years, typically 15 or 30, with interest.

There are several common types of home loans:

• **Conventional loans** — offered by banks and credit unions, usually requiring a credit score of 620 or higher and a down payment of 3–20%.

• **FHA loans** — backed by the Federal Housing Administration, allowing lower down payments (as low as 3.5%) and more flexible credit requirements. A good entry point for first-time buyers.

• **USDA Rural Development loans** — because much of Franklin County is classified as rural or semi-rural, many addresses here qualify for USDA loans, which offer zero-down-payment options for eligible buyers.

• **ITIN loans** — designed for buyers who do not have a Social Security number but do have an Individual Taxpayer Identification Number. Several local and regional lenders offer these.

• **Construction and rehab loans** — useful for contractors or investors improving older homes, common in small towns like Sullivan, Bourbon, or Pacific.

Federal programs set the rules; local lenders are the ones who actually process and fund your loan. The local relationship matters more than the program name.

Franklin County sits west of St. Louis along the I-44 corridor. Its economy is a mix of light manufacturing, agriculture, small retail, and a growing number of remote workers who moved out of the metro area. That economic mix shapes who qualifies and for what.

**Wage earners and salaried workers** with steady employment records typically have the easiest path to a conventional or FHA loan. If you work at a plant in Washington or Sullivan, two years of pay stubs and W-2s are usually enough to get started.

**Self-employed contractors and tradespeople** — a significant part of Franklin County's workforce — can qualify, but lenders will want two years of business tax returns, a profit-and-loss statement, and sometimes a letter from a CPA. Income averaging is common: lenders look at your average net income over 24 months, not just your most recent busy season.

**ITIN holders** are welcome at several lenders and credit unions that serve the county. You will need a history of timely bill payments, proof of income, and typically a larger down payment (10–20%). You do not need to be a U.S. citizen to buy a home in Missouri.

**Investors buying 1–4 unit properties** can access conventional investment property loans, though they usually require 15–25% down and a slightly higher interest rate than owner-occupied purchases.

**USDA eligibility**: Much of Franklin County — including areas outside Washington and Union — qualifies for USDA Rural Development loans. Check the USDA eligibility map at eligibility.sc.egov.usda.gov using your specific address, since eligibility is property-specific, not county-wide.

Gathering your paperwork before you approach a lender saves time and reduces stress. Here is a practical checklist for Franklin County borrowers:

**For all borrowers:**

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

- ITIN or Social Security number

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

- Last two months of bank statements (all pages, all accounts)

- Last 30 days of pay stubs (or most recent two years of business returns if self-employed)

- Proof of any other income: rental income, child support, Social Security, etc.

- Landlord contact information or 12–24 months of rent payment history if you are currently renting

**For self-employed applicants:**

- Two years of personal and business tax returns

- Year-to-date profit-and-loss statement, ideally prepared by a CPA

- Business bank statements for the last 12 months

- Business license or DBA registration in Franklin County or the state of Missouri

**For ITIN borrowers:**

- ITIN card and a valid photo ID

- 12–24 months of bank statements showing consistent deposits

- Proof of address history (utility bills, lease agreements)

- Reference letters from employers or long-term business relationships can strengthen your file

**For investors:**

- All of the above, plus current leases on any properties you already own

- Schedule E from your tax returns showing rental income and expenses

- A property address and a signed purchase agreement once you are under contract

Tip: Do not close any credit accounts or take on new debt between your loan application and your closing date. Even small changes can affect your approval.