Home financing in Gray County.

Home financing simply means borrowing money to buy, build, or improve a home — and paying it back over time, usually in monthly installments. The most common tool is a mortgage, a loan secured by the home itself. If you stop making payments, the lender has the right to take the property through a process called foreclosure.

There are several types of home loans worth knowing about:

- **Conventional loans** are offered by private lenders and typically require a credit score of 620 or higher and a down payment of at least 3–20%.

- **FHA loans** are backed by the federal government and allow down payments as low as 3.5%, with more flexible credit requirements. They are a good starting point for first-time buyers.

- **USDA Rural Development loans** are especially relevant in Gray County. Because much of the county qualifies as a rural area, you may be able to purchase a home with no down payment at all through this program.

- **VA loans** are for eligible veterans and active-duty military members, also with no down payment required.

- **ITIN loans** are available through select lenders for borrowers who do not have a Social Security Number but do have an Individual Taxpayer Identification Number. These are a legitimate and important pathway for many families in the Texas Panhandle.

No single loan type is right for everyone. The goal of this guide is to point you toward local people who can sit down with you, review your specific situation, and help you choose.

Gray County's economy is anchored by the energy sector (oil and gas), agriculture, and small-scale retail and service businesses centered in Pampa. This matters for financing because lenders look closely at income stability and employment history.

**If you work in oil and gas:** Income from the energy sector can be variable, especially for contractors and rig workers paid by the job or the hour.

Lenders will want to see a two-year history of that income.

If your pay fluctuates, an FHA loan or a local credit union loan (which tends to use more flexible underwriting) may be a better fit than a conventional loan through a large bank.

**If you are self-employed or a solo contractor:** You will be asked to show two years of tax returns. Your qualifying income is based on your net income after business expenses — not your gross revenue. This is a common point of confusion. A local CDFI or credit union can often work with you more patiently than a big-box lender.

**If you are an agricultural worker or seasonal worker:** Income from seasonal farm or ranch work is eligible, but lenders will average it over two years. Gaps in employment are not automatically disqualifying, but you will need documentation.

**If you use an ITIN:** Several lenders in and around the Texas Panhandle offer ITIN mortgage programs. You do not need a Social Security Number to own a home in Texas. You will need a valid ITIN, proof of income, and a solid payment history (rent receipts, utility bills, and similar records).

**Credit scores:** A score of 580 or above opens the door to FHA loans. Some ITIN and community lenders work with borrowers who have thin credit files — meaning not much credit history at all — rather than bad credit.

Gray County's median home prices are well below the Texas state average, which means the amount you need to borrow is typically lower. That can work in your favor.

Gathering your paperwork ahead of time makes the process much smoother. Every lender is different, but most will ask for the following:

**For all borrowers:**

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

- Social Security Number or ITIN

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

- Two years of W-2s or 1099s

- Two most recent pay stubs (if you are a salaried or hourly employee)

- Two to three months of bank statements

- Proof of any additional income (rental income, child support, etc.)

- Landlord contact information or 12 months of rent payment history

**If you are self-employed:**

- Two years of business tax returns (Schedule C, partnership returns, or corporate returns, depending on your structure)

- A year-to-date profit and loss statement

- Business bank statements

**For ITIN borrowers:**

- Your ITIN card or letter from the IRS

- 12 months of bank statements (personal and/or business)

- Proof of consistent rent or utility payments

- A letter from your employer or clients if income is informal or cash-based

**For the property:**

- A signed purchase agreement (once you are under contract)

- Homeowner's insurance quote

- Property address for appraisal scheduling

Tip: Make copies of everything and keep them in one folder. You will be asked for the same documents more than once.