Home financing in Henry County.

Henry County sits in the Southern Virginia Piedmont region. The local economy has historically been shaped by furniture and textile manufacturing, with a growing base in healthcare, distribution, and small contracting businesses. This matters for your financing application because lenders look closely at income stability and employment type.

**You may qualify if you:**

• Are a W-2 employee with steady income from a local employer such as Martinsville Memorial Hospital, Bassett Furniture, or a regional contractor.

• Are a self-employed sole proprietor or solo contractor — lenders will want 2 years of tax returns showing consistent income.

• Are a seasonal or gig worker — some CDFI and ITIN-friendly lenders use bank statements (12–24 months) in place of traditional tax documents.

• Have an ITIN instead of a Social Security number — ITIN mortgage products exist and are offered by select Virginia lenders and credit unions (see Section 4).

• Have limited or thin credit history — some lenders can use alternative credit data such as rent payment history, utility bills, and insurance payments.

**Income limits** may apply for programs like USDA or Virginia Housing loans, but Henry County's relatively modest median household income (~$42,000–$46,000) means many working families fall within qualifying ranges.

**Debt-to-income ratio (DTI):** Most conventional lenders want your total monthly debt payments (including the new mortgage) to be no more than 43–45% of your gross monthly income. FHA allows up to 50% in some cases with compensating factors.

Gathering your paperwork early saves time and stress. Here is what most lenders will ask for:

**For all borrowers:**

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

• 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 recent bank statements

• Most recent pay stubs (last 30 days)

• Proof of any other income (rental income, child support, disability, etc.)

• Landlord contact information or 12 months of canceled rent checks (if renting)

**For self-employed contractors:**

• Two years of business tax returns (Schedule C, Form 1065, or S-corp returns)

• Year-to-date profit and loss statement

• Business bank statements (12–24 months)

• Business license if applicable

**For the property:**

• Signed purchase agreement (once you have an offer accepted)

• Homeowners insurance quote

• Any HOA documents if applicable

If you are using an ITIN, bring your ITIN assignment letter from the IRS and additional proof of identity. A local housing counselor can help you organize your paperwork before you ever sit down with a lender — this free service is available through Virginia Housing-approved agencies.