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in Ione, CA
Self-employed borrowers in Ione get rejected by conventional lenders constantly. Your tax returns show too little income — that's the problem these two loans solve.
Both are non-QM loans. That means lenders skip the standard income rules and look at what you actually earn.
1099 loans are built for independent contractors and freelancers. The lender uses your 1099 forms — not tax returns — to calculate income.
This works well if your 1099s reflect strong gross earnings. Lenders typically want 1-2 years of 1099s from the same industry.
Bank statement loans use 12 to 24 months of deposits to calculate your income. Lenders apply an expense ratio to determine qualifying income.
This loan fits business owners whose bank deposits tell a better story than their Schedule C. More flexibility, but more documentation.
The core difference is how income gets verified. 1099 loans use your earnings forms. Bank statement loans use actual cash flow into your accounts.
Bank statement loans typically allow more income types and business structures. 1099 loans are narrower — they work best for pure contractor income.
If you get 1099s from clients and your gross income looks solid on those forms, start with a 1099 loan. It's a simpler path.
If you run a business, mix cash and deposits, or write off heavy expenses, bank statements will likely show stronger qualifying income.
Some lenders allow hybrid documentation. A broker can find programs that combine both to maximize your qualifying income.
Yes, but rural properties add underwriting complexity. Make sure your lender is comfortable with Amador County appraisals.
Most non-QM lenders want at least a 620 score. Better scores get you meaningfully better rates. Rates vary by borrower profile and market conditions.
Expect 10-20% down on most non-QM programs. Lower down payments are possible but come with higher rates.
Yes. Non-QM loans carry higher rates due to increased lender risk. The tradeoff is qualifying when conventional loans won't work.
Non-QM underwriting can take longer — plan for 30-45 days. Working with a broker who knows these programs speeds things up.