Bank Statement Loans for Self Employed Borrowers
At Crestico, Bank Statement Loans provide a flexible mortgage solution for self employed borrowers who may not qualify using traditional income documentation. Instead of relying solely on tax returns, eligible borrowers can use personal or business bank statements to document qualifying income.
What Is a Bank Statement Loan?
A Bank Statement Loan is a mortgage option that allows eligible self employed borrowers to verify income through personal or business bank statements instead of relying primarily on traditional tax returns, W2s, or paystubs. It can be a useful solution for small business owners, independent contractors, entrepreneurs, and other self employed professionals.
Borrowers do not necessarily need to own 100% of a business. Crestico offers bank statement mortgage options for creditworthy borrowers whose income may be difficult to document through conventional mortgage guidelines.
Who Can Benefit From a Bank Statement Mortgage?
Bank Statement Loans are designed primarily for self employed borrowers whose income may not be fully reflected through traditional mortgage documentation. This can include business owners, independent contractors, entrepreneurs, and professionals with substantial business deductions.
If tax returns show lower taxable income because of legitimate business expenses, a bank statement mortgage may provide another way to evaluate qualifying income.
Step 1
Check Eligibility
Step 2
Payment Option
Step 3
Get Approved
Step 4
Close the Loan
Step 5
Repayment & Loan Terms
Bank Statement Loan Features
Bank Statement Loans through Crestico can provide flexible financing options for qualified borrowers.
Bank Statement Loans for Homebuyers and Investors
Bank Statement financing may be used in different real estate situations, including purchasing a primary residence, financing a second home, purchasing an investment property, or refinancing an existing mortgage.
The appropriate program depends on factors such as credit history, income documentation, property type, occupancy, loan amount, and overall financial profile.
Frequently Asked Questions
What is a Bank Statement Mortgage?
Bank Statement Mortgage allows eligible borrowers to use bank statements to help verify income instead of relying primarily on traditional tax returns or W2 documentation. It can be especially useful for self employed borrowers with significant business deductions.
Can a Self Employed Person Get a Mortgage?
Yes. Self employed borrowers may qualify for specialized mortgage programs based on their credit, income documentation, business history, assets, and other financial factors. Crestico can help identify a suitable bank statement loan option.
How Many Bank Statements Are Needed?
Depending on the loan program, eligible borrowers may use 12 or 24 months of personal or business bank statements to document qualifying income.
Can I Refinance With a Bank Statement Loan?
Yes. Eligible borrowers may use a Bank Statement Loan for rate term refinancing or cash out refinancing, subject to program requirements and approval.
Can Bank Statement Loans Be Used for Investment Properties?
Yes. Bank Statement Loans may be available for eligible investment properties as well as primary residences and second homes. Property and borrower requirements apply.