They wrote off the truck, the tools, the office and the travel. Your taxable income came out low, which is what you paid them for.
Then a bank read that same return and said no.
Send 12 months of statements. No credit check to start.
A self employed mortgage looks at the money that reaches your account, not the figure left after write offs.
Licensed mortgage broker · NMLS 179997
Office in Vienna, Virginia
We speak 8 languages
Almost every self employed mortgage starts in one of these six spots. Find the one closest to your business.
Sales are healthy. Profit after write offs for gear, vehicles and the office is not. A bank statement loan counts deposits instead, and a 10% down payment is often enough.
Your 1099 income is strong and your net is much lower. A self employed mortgage built on 1099 income uses the gross with a set allowance, which lifts your qualifying income.
Rideshare, delivery, contracts, agency work. A profit and loss sheet from your accountant can carry the file with no tax returns.
Banks want two years. Some non QM loan lenders will write a self employed mortgage on twelve months, and which ones is not published anywhere.
Asset depletion turns savings into qualifying income by spreading it over a set term, with no tax returns involved. Not every lender offers asset depletion.
That was about paperwork, not whether you can pay. A non QM loan lender sets its own rules, so one no says nothing about the next.
If your money does not arrive the way a bank expects, they stop. A self employed mortgage just uses a different way.
Tax returns and W-2s. Cheapest when your paperwork fits, so we test it before any bank statement loan.
Twelve or 24 months of deposits on a bank statement loan, no tax returns at all. Most bank statement loan files land here.
A sheet from your accountant, no tax returns, no redoing your books. It carries the same qualifying income weight.
Gross 1099 income with a set allowance, often the highest qualifying income of the three.
Asset depletion where your wealth is invested rather than paid out as salary.
Here is how a bank statement loan counts your money. The lender adds your deposits, removes transfers, then takes off an expense factor of roughly 10% to 50%, set by your trade.
What is left, divided by the months, becomes the qualifying income on your bank statement loan. That expense factor is where files are won. A service business should not be assumed to spend half its income, and arguing the expense factor is worth tens of thousands a year.
Expect a down payment of 10% to 20%, a credit score from 620, and a rate a little above a normal loan. A bigger down payment buys a better rate here than elsewhere, and a strong credit score does the same.
If your returns already work you should not pay non QM loan pricing, or a bigger down payment. We check that first.
A low cost business should not carry a restaurant expense factor. Most borrowers never know it is negotiable.
Business age rules differ by lender and none are published. A stronger credit score widens the list further.
Many people hold a self employed mortgage two or three years, then move to a normal loan once the returns catch up.
Is committed to helping you find the right mortgage product for your needs, whether you’re exploring a home mortgage loan, considering a home mortgage loan in Virginia, or comparing other financing options. We understand that every borrower is different, and we offer a variety of products to meet your individual requirements, ensuring you receive guidance that fits your unique financial goals.
Most people are pre-approved within two days.
A short call, in your language if you like. No credit check yet.
We check many lenders and send you what you qualify for, in writing.
We handle the rest and close on the date you need.
From our office in Vienna, we serve buyers across the Commonwealth — and your file follows you if you move across state lines.
Northern Virginia
I-95 Corridor
Hampton Roads
Central & Western Virginia
The questions that come up on almost every call.
On a bank statement loan, 1099 or profit and loss program, yes. No tax returns means no returns, not no paperwork.
Twelve or 24 on a bank statement loan. Twelve is easier to gather. 24 often prices better and smooths a seasonal business.
Either, sometimes both. Business accounts carry an expense factor. Personal accounts taking owner draws are often treated better, which lifts your qualifying income.
From 620 in most cases. Pricing improves at 680 and again at 720, and a higher credit score can also lower the down payment.
Yes, and there may be a better route. A DSCR loan qualifies a rental on its own rent, with no income paperwork and a down payment of 20% to 25%.
No credit pull to start. We tell you which paperwork fits your business before anything is run.
Most of our self employed mortgage files come from owners, contractors and consultants across Fairfax, Prince William, Loudoun and Montgomery counties.