Mortgage Financing for Self-Employed Contractors in Henderson, Nevada

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What to know before you choose a loan path

Contractors in Henderson run into the same wall everywhere: a conventional underwriter sees your Schedule C, subtracts two years of write-offs, and the qualifying income drops below what you actually bring home. The loan programs below are built around that reality. Here is what separates them and who each one fits.

Bank-statement mortgages are the workhorse for most self-employed construction professionals. Instead of tax returns, the lender pulls 12 months of bank statements — sometimes 24 — and averages your deposits. If your gross revenue is strong but your taxable income is not, this is usually the fastest path. Rates run roughly 1–2 percentage points above a comparable conventional loan in 2026, and you will typically need a 700+ credit score to land the most competitive tiers. Alt-doc mortgages covers the full documentation menu and where each option sits on the rate spectrum.

1099-only programs work similarly but use your 1099 forms instead of bank records. They suit subcontractors who are paid by one or two general contractors and whose 1099s tell a cleaner story than their bank flow.

DSCR loans — debt-service coverage ratio — are not for your primary residence. They are worth knowing if you are also looking at a Henderson investment property or short-term rental alongside your home purchase. A lender who structures Henderson vacation rental financing through DSCR is evaluating the property's rent income, not yours, which is a completely separate qualification logic.

FHA with self-employment income is still viable if you have two full years of Schedule C history and your net income after write-offs clears the payment. FHA is more forgiving on credit — the floor sits around 580 with a 10% down payment, 620 for 3.5% down — but the income calculation follows standard IRS methodology, so heavy deductions still hurt you here.

Conventional loans follow Fannie Mae and Freddie Mac guidelines. You need two years of self-employment history documented by tax returns, a debt-to-income ratio under 43–50% of gross monthly income, and ideally a 700+ FICO. The rate is the best available, but the bar for contractors with complex returns is genuinely high.

Key numbers that move the decision:

Factor	Conventional	Bank-Statement / Non-QM
Income documentation	2-yr tax returns	12–24 months bank statements
Typical minimum FICO	620–640	660–700 depending on lender
Rate premium vs. conventional	—	~1–2 pts higher
Reserves required post-close	2–6 months	6–12 months
DTI ceiling	43–50%	43–55% (lender-specific)

The traps that catch contractors off guard: (1) depositing business revenue into a personal account without clean separation — lenders will question co-mingled funds; (2) assuming last year's returns are enough — most programs want the most recent 12 or 24 months; (3) shopping rate without accounting for origination fees, which typically run 1–3% on non-QM products.

Contractors who work across state lines should note that qualification logic is largely the same whether you are buying in Henderson or comparing notes with peers who looked at alternative documentation programs in other Sun Belt markets. Lender overlays vary, but the federal guidelines do not change by city.

Self-employed borrowers who mix construction work with freelance or gig income will find that strategies built specifically for irregular 1099 income apply directly — the documentation requirements and lender types overlap almost entirely with what contractors use.

Choose the guide below that matches your income structure, credit profile, or loan type, and it will walk you through the specific requirements, lender categories, and documents to gather.