Question 1

Can I qualify with just one year of 1099 income?

Accepted Answer

Some lenders allow it, especially with rising income. Two years is more common and gets you better program options.

Question 2

Do tax deductions reduce what I can borrow?

Accepted Answer

Yes. Most 1099 programs use gross 1099 income, but some lenders factor in business expenses. Ask which method applies.

Question 3

What down payment do I need in Gridley?

Accepted Answer

Expect 10-20% down for most 1099 programs. Stronger credit and income history can get you toward the lower end.

Question 4

Is a 1099 loan more expensive than a conventional loan?

Accepted Answer

Rates run higher than conventional loans. That's the trade-off for no W-2 requirement. Rates vary by borrower profile and market conditions.

Question 5

What documents do lenders want beyond my 1099s?

Accepted Answer

Most lenders ask for two years of 1099s, bank statements, and proof of active self-employment. Some require a client letter or current contract.

1099 Loans in Gridley, CA for Independent Contractors