What are some tips for entrepreneurs trying to buy a house?

By entrepreneur, I assume you mean newly self-employed without a history of self-employment.   While such borrowers represent greater risks for lenders, there are many ways to offset these risks.  Paying a higher-than-standard rate or increasing the required downpayment are the methods most often used by the self employed to obtain mortgages.  Funding for your startup could also include money for the principals or founders in the form of a "housing allowance" which could be used, in many forms, for the purposes of offsetting lender risk as well.

There is some general advice for qualifying for a loan (), though the situation is different for entrepreneurs.  A few pieces of advice: - Try to bundle business and personal accounts at the same bank.  There are risks associated with doing this, but it often makes the loan officer's approval process easier. - Focus on bankers with whom you have developed a personal relationship. This works especially well for entrepreneurs, but is generally good advice. - Try to shore up your company's finances (and document any outside income), to provide comfort for the bank.

Being a W2 employee of your own company simplifies things, especially if you are paid on a regular, steady basis. When I was qualifying for my mortgage, they did ask if had a controlling interest in my employer.  I answered "yes" but it didn't seem to matter.  Those were also the fast and loose days, however. My other advice is to have 20% down, plus closing costs, plus $5-10k for moving, appliances, drapes, etc... and rent until you can afford that.