*from the blog category*

my tax return won't qualify me for a mortgage

We understand that self-employed borrowers often have a complex financial situation. That's why we're proud to offer our Bank Statement program. This loan option allows those who are self-employed to purchase or refinance a home using bank statements instead of tax returns to calculate income. We underwrite your income upfront, so you can have confidence that your loan will close.

Many options are available, including loans up to $3 million. Two years seasoning is required for foreclosures, short sales, bankruptcies, or deed-in-lieu, and the loan can be used for purchase, cash-out, or rate-term refinance.

Additionally, this loan can be used for primary, second home, or investment properties. To qualify, 12 or 24 months of business or personal bank statements are required, along with other additional documentation for qualifying income and loan approval as may be necessary. If you have 1099 income, you do have the option of using that, as well. With so many options available, you're sure to find a loan that meets your needs.

What Is A Bank Statement Mortgage?

For self-employed individuals, qualifying for a mortgage can be difficult. Many lenders require tax returns as proof of income, but this isn't always possible for those who are self-employed. That's where a bank statement mortgage comes in. Lenders will use a borrower's bank statements to determine income and prove the ability to repay a loan. This can be an excellent option for self-employed individuals who may not have traditional documentation to show income.

What Is The Difference Between A Bank Statement Loan And A Traditional Mortgage Loan?

Traditional loans usually require tax returns, W-2s, and paycheck stubs to verify the borrower’s income. However, this is not the only option available for self-employed borrowers. The bank statement mortgage loan offers a different way to verify income without using tax returns. This type of loan is based on the borrower’s bank statements. Lenders will look at the deposits made into the account over a period of time, typically two months, and use that information to determine the borrower’s income. This type of loan can be a good option for self-employed borrowers who may have difficulty providing traditional documentation of their income.

Are There Any Other Loan Products Other Than Bank Statement Loans?

Self-employed borrowers often have many questions when choosing a loan product. A bank statement loan is a type of mortgage that allows self-employed borrowers to use their business income to qualify for a loan. The borrower provides the lender with their business bank statements, using these statements to verify the borrower's income. This type of loan can be an excellent option for self-employed borrowers who may have difficulty qualifying for a traditional mortgage.

The interest rate is the most important factor in choosing the right loan product. Selecting a loan with a lower interest rate will save you money over the life of the loan. Another essential factor to consider is the loan term. A shorter loan term will result in lower monthly payments, but you will pay more interest over the life of the loan. You should also consider the fees associated with the loan. Some lenders charge origination fees, while others do not. Compare all of these factors before selecting a bank statement loan.

However, self-employed borrowers should choose the best loan product to help meet their mortgage needs.