Home financing in Davidson County.

Home financing — commonly called a mortgage — is a loan you use to purchase a residential property. You borrow money from a lender and agree to pay it back over time, usually 15 to 30 years, with interest. The home itself serves as collateral, which means the lender can take it back if you stop making payments.

There are several common types of home loans available in Davidson County:

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

• **FHA loans** — backed by the federal government, allow lower credit scores (as low as 580) and down payments as low as 3.5%. Popular with first-time buyers.

• **VA loans** — for eligible veterans and active military, often with no down payment required.

• **USDA loans** — for rural or semi-rural areas; some parts of Davidson County's outskirts may qualify.

• **ITIN loans** — designed for buyers who don't have a Social Security number but have an Individual Taxpayer Identification Number. These are offered by select local lenders and credit unions in the Nashville area.

The type of loan that fits you best depends on your income, credit history, employment situation, and immigration status. A local housing counselor or CDFI can help you figure out where you stand before you apply anywhere.

Davidson County is home to Nashville — one of the fastest-growing cities in the Southeast. The local economy is driven by healthcare, music and entertainment, construction, hospitality, logistics, and a large immigrant workforce. That means lenders here are familiar with a wider range of applicants than you might expect.

**You may qualify if you are:**

- A W-2 employee with steady income and at least two years at the same employer

- Self-employed or a sole contractor with two years of tax returns showing consistent income

- A gig or seasonal worker who can document income through bank statements

- An ITIN holder (no Social Security number required by some local lenders)

- Someone rebuilding credit after a rough patch — credit scores in the 580–620 range can still qualify for FHA or ITIN programs

**Davidson County-specific factors:**

- Home prices in Nashville have risen significantly. The median home price in Davidson County regularly exceeds $400,000, which means knowing your budget is critical before shopping.

- Down payment assistance is available through Tennessee Housing Development Agency (THDA) and local nonprofits — you do not have to come up with 20% on your own.

- Being self-employed is common in Nashville's construction and music industries. Lenders here are used to reviewing 1099 income and profit/loss statements.

If you are unsure whether you qualify, start with a free housing counseling session — not a lender — to get an honest picture of your options.

Getting your paperwork together before you apply saves time and stress. Every lender has slightly different requirements, but most will ask for the following:

**For all applicants:**

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

- Two years of federal tax returns (personal, and business if self-employed)

- Last two to three months of bank statements (all accounts)

- Last 30 days of pay stubs (if employed by a company)

- Proof of any other income — rental income, child support, disability, etc.

- Landlord contact information or 12 months of rental payment history if you've been renting

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

- Two years of 1099 forms or business tax returns

- Year-to-date profit and loss statement

- Business license (if applicable)

- Business bank statements

**If applying with an ITIN:**

- Your ITIN card or letter from the IRS

- At least two years of ITIN-filed tax returns

- 12–24 months of bank statements (some lenders use these in place of pay stubs)

- Proof of residency in Davidson County (utility bills, lease agreement)

**Tip:** Start collecting these documents now, even before you talk to a lender. Having them ready speeds up the process and shows lenders you are organized and serious.