S/E Flex-Qual Option

Bank Statements

S/E - Use Bank Statements to Qualify

Use bank statements to verify your income and expenses, which are important factors in determining whether or not you qualify for a loan.

  • 620+ Fico
  • 0% down payment
  • 40, 30yr, 15yr fixed
  • Interest Only Available
  • Full Doc & Alt Doc ok
  • Loans to $6 Mil+
APPLY NOWGET A FREE QUOTE
BANK STATEMENT LOANS

BANK STATEMENT LOANS

Bank statement loans offer a flexible financing option for individuals with non-traditional income sources. By analyzing bank statements rather than tax returns, these loans cater to self-employed and freelance individuals seeking mortgage approval.
7-bg-145-1

LOAN PROGRAM DETAILS

Typical guidelines for Bank Statement loans.

Docs

 Bank Docs

Credit Score

660

LTV

   90% 

Max Loan

$6 Mil

Bank Statement Features

  • For self-employed or gig economy individuals
  • Use average monthly deposits into bank account
  • No tax returns or pay stubs required
  • Flexible underwriting guidelines
  • Flexible loan terms compared to traditional loans

Bank Statement Benefits

  • Allows self-employed individuals to qualify
  • traditional income docs not required
  • Helps avoid tax return issues or discrepancies
  • Flexibility in underwriting guidelines
  • Flexible loan terms compared to traditional loans
POPULAR BANK STATEMENT LOANS
Traditional
Prime
Fannie / Freddie
In today’s ever-changing financial landscape, the 30-year fixed mortgage remains a popular choice for homeowners seeking predictable payments and long-term stability. 
BENEFITS
  • 620+ Fico
  • 10% down payment
  • 40, 30yr, 15yr fixed
  • Interest Only Available
  • Full Doc & Alt Doc ok
  • Loans to $6 Mil+
Big Loan Amounts
Prime Credit & Assets
Jumbo/Super Jumbo
Jumbo and Super Jumbo loans are a type of mortgage designed to finance high-value properties that exceed the conforming loan limit set by Fannie Mae and Freddie Mac.
BENEFITS
  • 620+ Fico
  • 10% down payment
  • 40, 30yr, 15yr fixed
  • Interest Only Available
  • Full Doc & Alt Doc ok
  • Loans to $6 Mil+
Traditional
Prime Credit & Assets
Investment & 2nd Homes
Investment and second homes can be a smart financial decision, but securing financing for these types of properties can be challenging.
BENEFITS
  • 620+ Fico
  • 10% down payment
  • 40, 30yr, 15yr fixed
  • Interest Only Available
  • Full Doc & Alt Doc ok
  • Loans to $6 Mil+

Mortgage Calculator

Bank Statement Loans for Self Employed Borrowers

 

Introduction to Bank Statement Loans

Bank statement loans have emerged as a vital financial tool for self-employed individuals seeking mortgage financing. Unlike traditional loans that rely heavily on tax returns and W-2 forms to verify income, bank statement loans offer a more flexible alternative by analyzing bank statements as proof of income.

Understanding the Needs of Self-Employed Borrowers

Self-employed individuals often face challenges when applying for conventional mortgages due to irregular income streams and varying sources of revenue. Traditional lenders may struggle to assess their financial stability accurately, leading to difficulties in securing loans.

Flexibility in Income Verification

One of the primary benefits of bank statement loans is their flexibility in income verification. Instead of relying solely on tax documents, lenders analyze bank statements over a specified period, typically 12 to 24 months, to determine the borrower’s average monthly income.

Accommodating Seasonal Income

Many self-employed individuals experience seasonal fluctuations in income, making it challenging to meet the strict income requirements of traditional mortgages. Bank statement loans are designed to accommodate these fluctuations, providing a more realistic assessment of the borrower’s financial situation.

The Application Process

While bank statement loans offer greater flexibility, the application process may differ from conventional mortgages. Self-employed borrowers should be prepared to provide extensive documentation, including bank statements, profit and loss statements, and possibly even business licenses.

Documentation Requirements

Typical documentation required for a bank statement loan includes:

  • Bank statements covering the past 12 to 24 months
  • Profit and loss statements for the borrower’s business
  • Business licenses or other proof of self-employment
  • Personal identification documents

Credit Considerations

While credit scores are still an important factor in the loan approval process, bank statement loans may be more forgiving of past credit issues. Lenders focus more on the borrower’s ability to repay the loan based on their documented income rather than solely relying on credit scores.

Benefits of Bank Statement Loans

Bank statement loans offer several advantages for self-employed borrowers:

Flexibility

Bank statement loans provide greater flexibility in income verification, making them ideal for individuals with non-traditional income sources.

Accessibility

Self-employed individuals who may not qualify for traditional mortgages due to irregular income or limited documentation can benefit from the accessibility of bank statement loans.

Fast Approval Process

Since bank statement loans focus more on income verification than extensive paperwork, they often have a faster approval process compared to conventional mortgages.

Conclusion

Bank statement loans have revolutionized the mortgage industry by offering a viable financing option for self-employed borrowers. With their flexible income verification and accommodating nature, these loans provide a pathway to homeownership for individuals with non-traditional income sources.

 

Learn more about Bank Statement mortgage options today!

FAQS

What is a mortgage?

A mortgage is a loan that is used to buy a property, typically a home.

What is the difference between a mortgage and a home loan?

A mortgage is a loan that is used to buy a property, typically a home.

How much can I borrow for a mortgage?

A mortgage is a loan that is used to buy a property, typically a home.

What is a down payment?

A mortgage is a loan that is used to buy a property, typically a home.

What is a fixed-rate mortgage?

A mortgage is a loan that is used to buy a property, typically a home.

What is an adjustable-rate mortgage?

A mortgage is a loan that is used to buy a property, typically a home.

Apply In Minutes

Our digital online application is fast and easy!

  • Register your account
  • Answer a few questions
  • Get an answer in hours!

Apply Now

Have a Loan Scenario to Discuss?

Turning Scenarios into Solutions In 2 Hours or Less.

Let's Get Started

Your perfect mortgage is just a few clicks away