Learn About a Bank Statement Loan
A bank statement loan is designed for self-employed individuals or business owners who may not qualify for traditional mortgages due to fluctuating or unconventional income. Instead of requiring W-2s, pay stubs, or tax returns, these loans allow you to qualify based on your bank deposits over the past 12-24 months.
What is a Bank Statement Loan?
A bank statement loan lets you qualify based on 12-24 months of bank statements, either personal or business. This loan is ideal for individuals whose tax returns don’t fully capture their earning potential. Instead of focusing on reported net income, lenders evaluate the cash flow reflected in your deposits. This approach provides a more accurate picture of your financial health, particularly if you’re self-employed and take significant tax deductions.
Who is Eligible?
Bank statement loans are designed for self-employed borrowers, freelancers, and business owners with inconsistent or unconventional income. To qualify, businesses generally need to have been in operation for at least two years, although some lenders may allow exceptions for newer businesses. Additionally, borrowers must hold at least 25% ownership in the business, verified through a CPA or tax preparer letter.
Benefits of Bank Statement Loans
- Flexible Income Verification: Use bank statements instead of traditional income documentation.
- No Need for Tax Returns: Skip the hassle of providing complicated tax returns or W-2s.
- Higher Loan Amounts: Borrow based on your cash flow rather than reported income, potentially qualifying for larger loans.
- Self-Employed Friendly: Tailored for entrepreneurs, freelancers, and business owners with fluctuating earnings or significant deductions.
A bank statement loan offers a flexible path to homeownership or refinancing for self-employed individuals and business owners. If your financial situation doesn’t fit the mold of traditional lending, this loan could be the solution you need.
For personalized assistance, reach out to Maor Max Lavi - Superior Mortgage Lending to explore your options and secure a loan that fits your unique circumstances.
Learn About a Bank Statement Loan
A bank statement loan is designed for self-employed individuals or business owners who may not qualify for traditional mortgages due to fluctuating or unconventional income. Instead of requiring W-2s, pay stubs, or tax returns, these loans allow you to qualify based on your bank deposits over the past 12-24 months.
What is a Bank Statement Loan?
A bank statement loan lets you qualify based on 12-24 months of bank statements, either personal or business. This loan is ideal for individuals whose tax returns don’t fully capture their earning potential. Instead of focusing on reported net income, lenders evaluate the cash flow reflected in your deposits. This approach provides a more accurate picture of your financial health, particularly if you’re self-employed and take significant tax deductions.
Who is Eligible?
Bank statement loans are designed for self-employed borrowers, freelancers, and business owners with inconsistent or unconventional income. To qualify, businesses generally need to have been in operation for at least two years, although some lenders may allow exceptions for newer businesses. Additionally, borrowers must hold at least 25% ownership in the business, verified through a CPA or tax preparer letter.
Benefits of Bank Statement Loans
- Flexible Income Verification: Use bank statements instead of traditional income documentation.
- No Need for Tax Returns: Skip the hassle of providing complicated tax returns or W-2s.
- Higher Loan Amounts: Borrow based on your cash flow rather than reported income, potentially qualifying for larger loans.
- Self-Employed Friendly: Tailored for entrepreneurs, freelancers, and business owners with fluctuating earnings or significant deductions.
A bank statement loan offers a flexible path to homeownership or refinancing for self-employed individuals and business owners. If your financial situation doesn’t fit the mold of traditional lending, this loan could be the solution you need.
For personalized assistance, reach out to Maor Max Lavi - Superior Mortgage Lending to explore your options and secure a loan that fits your unique circumstances.
