Question 1

Who prepares the P&L statement for this loan?

Accepted Answer

A licensed CPA or tax professional must prepare and sign it. Self-prepared statements are not accepted.

Question 2

Can I use a P&L loan for a vacation rental in Tahoe?

Accepted Answer

Yes. Some lenders allow P&L loans on second homes and investment properties. Terms vary by lender.

Question 3

How is my income calculated from the P&L?

Accepted Answer

Lenders use the net income shown on your P&L, sometimes adding back depreciation. Each lender's calculation method differs.

Question 4

Do P&L loans have higher rates than conventional loans?

Accepted Answer

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

Question 5

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

Accepted Answer

Most lenders require at least two years of self-employment history. Some allow one year with strong compensating factors.

Question 6

What if my P&L shows lower income than my bank deposits?

Accepted Answer

A bank statement loan may qualify you for more. We'll compare both scenarios before you choose a program.

P&L Statement Loans for Self-Employed Buyers in South Lake Tahoe