Question 1

Can I use both 1099s and bank statements together?

Accepted Answer

Some lenders allow blended documentation. Ask your broker which lenders in their network support that structure.

Question 2

Do these loans require a higher down payment?

Accepted Answer

Most non-QM lenders want 10 to 20 percent down. Your credit score and income strength affect where you land in that range.

Question 3

Are rates higher on these loans than conventional?

Accepted Answer

Yes. Non-QM loans carry a rate premium over conventional. Rates vary by borrower profile and market conditions.

Question 4

How many months of 1099s do lenders want?

Accepted Answer

Most lenders want two years of 1099 forms. One year may work if your income history is strong and consistent.

Question 5

What credit score do I need for either loan?

Accepted Answer

Most non-QM lenders want a 620 minimum. Stronger scores above 680 get better pricing on both products.

Question 6

Which loan closes faster in Crescent City?

Accepted Answer

Timelines are similar. 1099 loans involve less document review if your forms are clean, which can speed things up slightly.

1099 Loans vs Bank Statement Loans in Crescent City