Home financing in Lee County.

Home financing — most often called a mortgage — is a loan you use to purchase a house or piece of land. You borrow money from a lender, then repay it over time (usually 15 or 30 years) with interest. The home itself serves as collateral, meaning the lender has a legal claim on it until the loan is paid off.

There are several common types of home loans:

• **Conventional loans** – Offered by banks and credit unions. Typically require a credit score of 620 or higher and a down payment of at least 3–5%.

• **FHA loans** – Backed by the Federal Housing Administration. More flexible credit and down payment requirements (as low as 3.5%). A common starting point for first-time buyers.

• **USDA Rural Development loans** – Because much of Lee County is classified as rural, many properties here may qualify for USDA loans, which can offer zero down payment and competitive interest rates.

• **ITIN loans** – Designed for buyers who don't have a Social Security number but do have an Individual Taxpayer Identification Number (ITIN). These are offered by select community lenders and credit unions.

• **VA loans** – For eligible veterans and active military. Zero down payment and no mortgage insurance required.

Each loan type has its own rules, costs, and qualifying requirements. The sections below will help you figure out which direction makes the most sense for your situation.

Lee County's economy is rooted in agriculture, small business, oil-and-gas services, and construction trades. That means many residents are self-employed, work seasonal or contract jobs, or earn income that doesn't always show up neatly on a pay stub. The good news: lenders who work with this type of community understand non-traditional income.

**General qualifying factors lenders look at:**

- Stable income (at least two years of history, even if self-employed)

- Credit score (varies by loan type — FHA goes as low as 580; ITIN lenders may not rely on credit scores at all)

- Debt-to-income ratio (your monthly debts vs. your monthly income — ideally below 43%)

- Down payment savings

- Property location and condition

**For solo contractors and self-employed workers:** You'll typically need two years of tax returns (Schedule C or business returns), bank statements, and sometimes a profit-and-loss statement prepared by an accountant.

**For ITIN borrowers:** You do not need a Social Security number or U.S. citizenship to get a mortgage. Several community lenders and credit unions in the region offer ITIN mortgage programs. You'll need a valid ITIN, proof of consistent income, and a history of responsible bill payment — even if it's utility bills or rent rather than traditional credit.

**For USDA eligibility:** A large portion of Lee County — including areas outside Giddings — qualifies for USDA Rural Development loans.

Income limits apply (based on household size), but they are generous enough to include most working families in the county.

Check eligibility at the USDA Rural Development Texas State Office or ask a local housing counselor.

Getting your paperwork organized before you apply saves time and reduces stress. Here's what most lenders will ask for:

**For all borrowers:**

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

- ITIN or Social Security number

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

- Two most recent W-2s or 1099s

- Two to three months of bank statements

- Recent pay stubs (if employed)

- Proof of address (utility bill, lease agreement)

- Rental history or landlord contact information

**For self-employed / contractors:**

- Profit-and-loss statement (year-to-date, prepared by a bookkeeper or CPA)

- Business bank statements (separate from personal, if possible)

- Business license or DBA registration, if applicable

**For ITIN borrowers:**

- Valid ITIN letter from the IRS

- Passport or consular ID (matrícula consular accepted by many community lenders)

- 12–24 months of bank statements showing regular deposits

- Proof of on-time bill payment (rent receipts, utility bills)

**Tip:** You don't need to have every document perfect before talking to a lender or housing counselor. Many local organizations will help you gather and organize what you need — at no cost.