Question 1

Can I use one year of 1099s to qualify?

Accepted Answer

Some lenders accept one year, but two years is the standard. One-year programs usually require stronger credit and larger reserves.

Question 2

Do lenders add back deductions on my 1099 income?

Accepted Answer

1099 loans use gross 1099 income, not your Schedule C net. Deductions don't reduce your qualifying income the way they do on conventional loans.

Question 3

What property types work in Ferndale with a 1099 loan?

Accepted Answer

Single-family homes are the easiest fit. Some non-QM lenders also approve mixed-use and rural properties — ask specifically before assuming.

Question 4

How much down payment do I need?

Accepted Answer

Most 1099 loan programs require 10-20% down. Lower down payment options exist but usually require stronger credit and more reserves.

Question 5

Is a 1099 loan the same as a stated income loan?

Accepted Answer

No. You still document your income — just with 1099s instead of W-2s. Stated income loans require no income proof at all and are rare today.

1099 Loans in Ferndale, CA for Independent Contractors