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Bank Statement Loans in Clovis
Clovis attracts entrepreneurs and business owners who need flexible income documentation. Bank statement loans serve self-employed borrowers who can't provide traditional W-2s or tax returns.
This Non-QM option uses 12 to 24 months of business or personal bank statements to verify income. It's designed for borrowers whose tax returns don't reflect their actual cash flow.
Self-employed professionals in Clovis—from agricultural consultants to tech freelancers—find bank statement loans match their documentation capabilities better than conventional mortgages.
Lenders typically require 12 to 24 months of consecutive bank statements showing consistent deposits. They calculate your income by averaging deposits over this period.
Most programs accept either personal or business bank statements. Credit scores usually need to be 620 or higher, though some lenders prefer 660+.
Down payments generally start at 10% for primary residences and 20% for investment properties. Rates vary by borrower profile and market conditions based on your credit and documentation strength.
Bank statement loan programs come from specialized Non-QM lenders rather than traditional banks. Each lender has different calculation methods for determining qualifying income from statements.
Some lenders use gross deposits while others apply expense ratios to account for business costs. This variation means shopping multiple lenders can yield significantly different loan amounts.
Working with a broker who understands these calculation differences helps you find the lender whose underwriting approach maximizes your qualifying income based on your specific deposit patterns.
Clean bank statements with consistent deposits qualify more easily than erratic cash flow patterns. Lenders look for regular business activity without large unexplained deposits or transfers.
Borrowers often wonder whether to use personal or business statements. Business accounts typically allow higher income calculations, but personal accounts work when they clearly show business deposits.
Timing matters for self-employed borrowers in Clovis. Organizing 24 months of statements before starting your home search speeds up the approval process and strengthens your offer competitiveness.
Bank statement loans differ from 1099 loans, which use 1099 forms for income documentation. If you receive 1099s regularly, that program might offer better rates since the income documentation is more standardized.
Profit and loss statement loans require CPA-prepared financials plus partial bank statements. Bank statement-only programs work better when your P&L doesn't tell the full income story.
DSCR loans evaluate rental property cash flow rather than personal income. Clovis investors buying rental properties might find DSCR loans simpler than documenting personal bank statements.
Clovis's economy includes agriculture, healthcare, and small business sectors where self-employment is common. Bank statement loans serve contractors, growers, and service providers whose income fluctuates seasonally.
Property types throughout Fresno County range from established Clovis neighborhoods to rural parcels. Bank statement loans work for various property types, though requirements tighten for acreage or unique properties.
Self-employed borrowers in Clovis should account for slightly higher interest rates compared to conventional loans. The flexibility in documentation justifies the rate premium for borrowers who can't qualify traditionally.
Lenders average deposits over 12-24 months, then may apply an expense ratio between 0-50% depending on whether you use personal or business accounts. Business accounts typically get higher expense deductions.
Most lenders allow combining statements from multiple accounts to show total income. All accounts need consecutive monthly statements for the full 12-24 month period.
Lenders exclude transfers between your own accounts, loans, gifts, and one-time deposits. They focus on business income, client payments, and regular earnings that demonstrate ongoing cash flow.
Expect 30-45 days from application to closing. The timeline depends on how organized your statements are and how quickly the lender can verify deposit sources.
Rates vary by borrower profile and market conditions. Expect rates 1-3% higher than conventional mortgages, reflecting the alternative documentation and higher risk for lenders.
Mortgage financing for independent contractors and freelancers who earn 1099 income instead of traditional W-2 wages.
Mortgage programs that allow borrowers to qualify based on liquid assets rather than traditional employment income.
Short-term financing that bridges the gap between buying a new property and selling an existing one.
Debt Service Coverage Ratio loans that qualify investors based on a rental property's income rather than personal income.
Mortgage programs designed for non-US citizens and non-permanent residents who want to purchase property in the United States.
Asset-based short-term loans primarily used by real estate investors for property acquisition and renovation projects.
Mortgages that allow borrowers to pay only the interest for an initial period, resulting in lower monthly payments upfront.
Financing solutions tailored for real estate investors purchasing rental properties, fix-and-flip projects, or investment portfolios.
Home loans for borrowers who have an Individual Taxpayer Identification Number instead of a Social Security number.
Adjustable rate mortgages held in a lender's portfolio rather than sold on the secondary market, offering more flexible terms.
Non-QM mortgages that use a CPA-prepared profit and loss statement to verify income for self-employed borrowers.
Home loans with interest rates that adjust periodically based on market conditions after an initial fixed-rate period.
Specialized mortgage programs designed to support homeownership in underserved communities with flexible qualification criteria.
Mortgages that meet the guidelines and loan limits set by Fannie Mae and Freddie Mac for secondary market purchase.
Financing for building a new home or making major renovations, typically converting to a permanent mortgage upon completion.
Traditional mortgage financing not backed by a government agency, offering flexible terms and competitive rates for qualified borrowers.
Innovative loan products that leverage projected home equity growth to provide favorable financing terms.
Government-insured mortgages from the Federal Housing Administration with low down payments and flexible credit requirements.
A revolving line of credit secured by your home equity that allows you to borrow funds as needed during a draw period.
A fixed-rate second mortgage that provides a lump sum of cash by borrowing against the equity built in your home.
Mortgages that exceed the conforming loan limits set by the FHFA, designed for financing high-value luxury properties.
Loans for homeowners aged 62 and older that convert home equity into cash without requiring monthly mortgage payments.
Government-backed zero down payment mortgages for eligible rural and suburban homebuyers who meet income limits.
Government-guaranteed mortgages for eligible veterans, active-duty service members, and surviving spouses with zero down payment.