Alternative Documentation Lending • Austin & Texas

Non-QM Loan Programs in Austin, Texas

Bank Statements. 1099s. Asset Depletion. DSCR Investor Loans.

A Non-QM loan does not follow the Qualified Mortgage rule. We still compare a tax-return loan first. My team and I shop many wholesale lenders when the documents you have need a different path.

See My Options Book a 15-Min Call (512) 956-6010

By Adam Styer, Senior Loan Officer • NMLS #513013 • Company NMLS #2072896

Program Variety
4 Core Paths
Tax returns, deposits, 1099s, assets, DSCR
Loan Amounts
Shopped for the file
Primary residences, second homes, and investment
Credit Flexibility
Read with the file
Credit rules differ by program
Tax Returns
Tax returns first
Tax returns are still the first comparison
What should I know about this option?

What Is a Non-QM Mortgage in Texas?

A Non-QM (Non-Qualified Mortgage) is a residential loan that does not conform to the strict underwriting rules set by government agencies like Fannie Mae, Freddie Mac, or the FHA. Unlike predatory pre-2008 subprime lending, modern Non-QM loans comply fully with the Dodd-Frank Act's Ability-to-Repay (ATR) rule, verifying financial capability through alternative, robust documentation methods.

The right mortgage starts with how your income or assets can be documented. We compare a tax-return loan with the other paths before assuming you need alternative documents. Depending on the program, that review may use tax returns, eligible bank deposits, 1099 records, a profit-and-loss statement, eligible assets, or a rental's cash flow. The records and the qualifying math vary by lender. Start with your goal and the documents you have.

Common Situations

Who This Program Is Built For

A few situations where the tax return is a poor fit for one bank. The path still depends on the documents you have.

Self-Employed Entrepreneurs

Business owners whose accountants take legitimate deductions that reduce taxable net income below conventional debt-to-income caps.

1099 Contractors & Consultants

Freelancers and consultants whose 1099s may tell a clearer story than a Schedule C. Gross 1099 earnings are not qualifying income.

Real Estate Investors (DSCR)

Landlords whose rental may be reviewed on rent. Personal tax returns and an LLC on title are program questions, not a given.

Asset-Rich / High-Net-Worth Borrowers

Retirees and people after a business sale, when savings may carry more of the file than wages. The months used in that math depend on the program.

Options & Milestones

Simple Options & 3-Step Process

The documents, the program, and what has to happen before a closing date.

Bank Statement Mortgages

12 or 24 months of personal or business deposits. Deposits are not qualifying income. We read the deposits and match them to a program.

Best for: Self-employed business owners

1099-Only Home Loans

One or two years of 1099s. Any expense treatment is set by the program. Gross contract earnings are not qualifying income.

Best for: Independent contractors & consultants

DSCR Real Estate Investor Loans

Reviewed on the property's rent versus the housing payment. The ratio, and whether an LLC can hold title, depend on the program.

Best for: Real estate landlords & STR hosts
01

Scenario & Strategy Matching

We look at the documents you have and compare a standard loan with the other paths before choosing one.

02

Wholesale Rate Shop

We shop your file across many wholesale lenders to ensure transparent pricing without retail markups.

03

A clear path to closing

Timing depends on the selected program, the documents needed, appraisal and title work. Confirm the milestones for your file before relying on a closing date.

Illustrative Scenario

In Action: A Clear Scenario

A Barton Creek buyer with more than one company.

Illustrative Case • Multi-Entity Owner Austin (Barton Creek), Texas

Barton Creek business owner, more than one company

The situation: An Austin business owner with more than one company wanted to buy a home in Barton Creek.

The challenge: A bank asked for returns from every company. Transfers between the companies and depreciation made that bank's guidelines a poor fit.

What we did: We compared a tax-return loan with the deposits in the main operating account, and we used the account that received the revenue.

Supporting Research & Worksheets

Explore the Details

In-depth underwriting guidelines, loan matrices, and interactive tools in our specialist resources.

Bank Statement Mortgage Guide Read Guide →

In-depth guide to 12 and 24-month bank statement programs in Texas.

1099-Only Mortgage Guide Explore 1099 →

How 1099 income is documented. Gross 1099 earnings are not qualifying income.

Texas DSCR Loan Guide Explore DSCR →

How real estate investors qualify purely on property rental cash flow.

Asset Depletion Mortgage Guide Explore Asset Loans →

How high-net-worth borrowers convert liquid wealth into qualifying monthly income.

What is a Non-QM →

What will determine →

Clear Answers

Frequently Asked Questions

Straightforward answers to the questions self-employed borrowers ask most.

Is a Non-QM loan the same as a subprime loan?

No. Pre-2008 subprime loans had zero verification of income or assets. Modern Non-QM loans comply with strict federal Ability-to-Repay (ATR) rules. Underwriters rigorously verify cash flow via bank statements, 1099s, or verified rental income to ensure long-term repayment ability.

Are interest rates significantly higher on Non-QM loans?

We compare the full quote with a conventional loan. A non-QM loan and a jumbo loan can be the same loan.

How much down payment is required for a Non-QM loan?

We set the down payment from the path: bank statements, a rental, or a larger loan.

Can I refinance a Non-QM loan into a conventional loan later?

Sometimes. A later conventional refinance has to meet that loan's rules at the time. It is not part of the purchase approval.

Can I use a Non-QM loan for a primary residence?

Yes. Non-QM programs are available for primary residences, second vacation homes, and 1–4 unit investment properties.

The Wholesale Advantage • Many wholesale lenders • Wholesale Pricing Without Corporate Bank Margins • A clear path to closing • Direct 1-on-1 Strategy from Adam Styer

Fast Scenario Review

Tell us about the file

Tell Adam about your scenario. No hard credit pull, no application fees, and no spam. Adam reviews your numbers personally.

You don’t need to know which loan to ask for. Tell me what you’re trying to do, and we can start there.

Your financing goal and contact details

Please leave out sensitive financial information.

One optional question: how did you find me?
Prefer a Comprehensive File Review? Submit Your Full Scenario →

For complex files, multiple business entities, or borrowers with tax documents ready for evaluation. Complete the detailed scenario review below for a comprehensive underwriting analysis.

Your scenario

Your plans
How can Adam reach you?

Please leave out Social Security numbers, account numbers, and sensitive documents.

For a time-sensitive question, you can also text Adam.