El Paso & Southern New Mexico: Switched From W-2 to 1099? You May Still Qualify for a Mortgage

Did your employer recently switch you from a W-2 employee to a 1099 independent contractor? You may have been told that you need to wait one or even two years before you can qualify for a mortgage—but that may not always be the case. In this video, I explain a Non-QM mortgage option designed for certain borrowers who have transitioned from W-2 to 1099 income while remaining in the same line of work. This can be especially helpful for professionals such as nurses, physical therapists, medical coders and others whose employment structure has changed but whose actual job duties remain substantially the same. One of the biggest factors is whether becoming a 1099 contractor has created new business expenses. If you are now responsible for significant expenses related to your work, a different Non-QM loan program may be needed. I also explain why Non-QM loans typically require a larger down payment—often around 10% or more—and why rates and pricing can vary based on credit, down payment, loan amount and the overall loan scenario. The biggest takeaway: becoming a 1099 borrower does not automatically mean you have to put your homebuying plans on hold. If you are buying a home in El Paso, Fort Bliss, Las Cruces, Santa Teresa, Sunland Park or Southern New Mexico and you have a unique income situation, reach out before assuming you cannot qualify. Before you make an offer, send me the property address and let me run the numbers so you know your financing and payment options. ReAnn Gonzalez Mortgage Loan Originator | Branch Manager Edge Home Finance NMLS #219070 | Company NMLS #891464 Serving Texas & New Mexico Chapters: 00:00 Switched From W-2 to 1099? You May Still Qualify 00:40 No Two-Year Waiting Period for Some 1099 Borrowers 01:36 Why Business Expenses Matter 02:23 What If You Do Have Business Expenses? 02:49 Non-QM Requirements & Your Mortgage Options