Bank Statement Loans

Designed for self-employed individuals or business owners who may not have the traditional income documentation required for a conventional loan.

• Instead of relying on W-2s or tax returns, lenders use the borrower's bank statements to verify income.

• We will request 12 or 24 months of personal or business bank statements to assess your cash flow and financial stability.

• These loans offer flexibility for those with irregular income streams, allowing them to qualify based on actual deposits rather than taxable income.

• This comes with higher interest rates and larger down payment requirements due to the increased risk preceived.

• Borrowers should ensure their bank statements reflect consistent and sufficient deposits to meet the lender's criteria. Bank statement loans provide a valuable alternative for self-employed individuals seeking home financing without traditional income documentation.

Guidelines

• Minimum Credit score 640, requireds 25% down payment.

• Minimum Down Payment of 10% with 740+ credit.

• Reserves required determined by credit and loan to value.

• Loans up to $4 million with a minimum of $150,000

• Purchase and cash-out or rate-term refinance.

• Owner-occupied, second homes, and investment properties.

• Borrowers can own as little as 50% of the business for business bank statements and 25% for personal bank statements

• Two years' seasoning for foreclosure, short sale, bankruptcy or deed-in-lieu

• Profit and Loss (P&L) statements are a valid form of income verification

• Permanent and non-permanent residents allowed.

• Loans will be qualified using a default expense factor of 50%. Companies with a lower expense factor will require a statement from a third party CPA, tax preparer, or bookkeeping company (some industries with traditionally higher expense factors, such as restaurants, will be underwritten with a 70% expense factor).