Question 1

Can I use both 1099 and bank statement income on one loan?

Accepted Answer

No. Lenders use one method or the other, not both. You'll pick the approach that shows higher qualifying income based on your documentation.

Question 2

Do these loans require higher down payments than conventional?

Accepted Answer

Sometimes. Many lenders start at 10% down, same as conventional. But some bank statement programs want 15-20% to offset underwriting risk.

Question 3

Which loan has better rates for Sanger borrowers?

Accepted Answer

1099 loans typically price lower because tax returns provide clearer income verification. Bank statement loans add 0.25-0.50% in most cases.

Question 4

How long does each loan take to close?

Accepted Answer

1099 loans close in 25-35 days with complete returns. Bank statement loans take 30-45 days due to manual deposit review by underwriters.

Question 5

Do I need a Sanger-based lender for these programs?

Accepted Answer

No. These are non-QM products available through wholesale lenders nationwide. A broker with access to multiple lenders finds better pricing.

1099 Loans vs Bank Statement Loans in Sanger: Which Self-Employed Option Fits Your Income?