Question 1

Who prepares the P&L statement for this loan?

Accepted Answer

A licensed CPA must prepare it. Lenders won't accept self-prepared statements. The CPA signs off on your business income summary.

Question 2

Can I use a P&L loan to buy in Pleasanton without tax returns?

Accepted Answer

Yes. That's the point of the program. Your CPA-prepared P&L replaces traditional income docs like W-2s or tax returns.

Question 3

How recent does my P&L need to be?

Accepted Answer

Most lenders require a P&L covering the last 12 or 24 months. Outdated financials will stall or kill the file.

Question 4

Are P&L loan rates higher than conventional rates?

Accepted Answer

Yes, typically. Non-QM pricing carries a premium over conventional. Rates vary by borrower profile and market conditions.

Question 5

What if my business had a down year on the P&L?

Accepted Answer

Lenders scrutinize income trends. A significant dip may reduce your qualifying income or require a larger down payment.

Question 6

How long do I need to be self-employed to qualify?

Accepted Answer

Most lenders want at least two years of self-employment. Some will approve at 12 months with strong financials.

P&L Loans for Self-Employed Buyers in Pleasanton