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Self-Employed loans in Tennessee

Quick answer

Self-employed buyers in Tennessee can qualify with two years of tax returns on conventional, FHA, VA or USDA loans, or with 12–24 months of bank statements on non-QM programs.

By Purchase Mortgage Loan Editorial Team Checked against official sources per our editorial standardsLast updated

Self-Employed loan snapshot for Tennessee

ItemEstimate
Minimum down payment3%–10%
Minimum credit score620–660
Typical TN home value$256,800
3.5% down on typical home$8,988
20% down on typical home$51,360
Avg. effective property tax0.55%/yr (~$117/mo)
Income for typical home (31% rule)$78,000

Rate assumption: 7.18% (Freddie Mac PMMS 30-year fixed average, week of November 5, 2026). Change it in the payment calculator.

Which Tennessee programs pair with Self-Employed loans?

  • Great Choice Home Loan: A fixed-rate first mortgage for buyers within income and price limits.
  • Great Choice Plus: Down payment assistance as a deferred or amortizing second loan.

Details and current limits: Tennessee Housing Development Agency (THDA).

What documents do self-employed borrowers need?

  • Two years of personal federal tax returns (all schedules).
  • Two years of business returns (1120S, 1065 or 1120) if applicable.
  • Year-to-date profit and loss statement.
  • Business license or CPA letter verifying the business.
  • Recent personal and business bank statements.

Full-doc vs bank-statement loans

Full documentationBank-statement (non-QM)
Income sourceTax returns12–24 months of deposits
Down payment3%–5%+Usually 10%+
RateMarketTypically higher

Self-Employed loans in Tennessee cities

NashvilleMemphisKnoxvilleChattanoogaClarksvilleMurfreesboroFranklinJohnson CityJacksonHendersonvilleBartlettKingsportSmyrnaSpring HillColliervilleClevelandGallatinBrentwoodColumbiaLebanonMount JulietGermantownLa VergneCookevilleMaryvilleOak RidgeMorristownBristolFarragutShelbyvilleEast RidgeTullahomaSpringfieldSeviervilleGoodlettsvilleDicksonDyersburgSeymourGreenevilleArlingtonNolensvilleElizabethtonAthensLakelandWhite HouseMcMinnvillePowellPortlandSoddy-DaisyManchesterLewisburgCrossvilleRed BankMiddle ValleyHartsville/Trousdale CountyLawrenceburgAlcoaCollegedaleMillingtonUnion CityMartinLenoir CityParisAtokaClinton

Frequently asked questions

Yes. Self-Employed loans are available statewide in Tennessee through approved lenders, subject to county loan limits where they apply.

Often yes. Tennessee Housing Development Agency (THDA) and local programs frequently pair assistance with FHA, conventional, VA or USDA first mortgages. Eligibility depends on income, price and program rules.

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Figures on this page are estimates for educational purposes only and are not a loan offer or commitment to lend. Rates, loan limits, fees and assistance programs change frequently and vary by lender, location and borrower profile. Confirm current terms with a licensed loan officer.