Loading
in Wasco, CA
Most Wasco buyers with self-employed income get rejected by conventional lenders. That's not a credit problem — it's a documentation problem.
Two non-QM loans fix this: 1099 loans and bank statement loans. Knowing which one fits your income type saves time and gets you approved faster.
1099 loans are built for independent contractors and freelancers. Lenders use your 1099 forms — not your tax returns — to calculate income.
This matters if you write off a lot of expenses. Your taxable income might look low, but your 1099 earnings tell a stronger story.
Bank statement loans use 12 to 24 months of deposits to prove income. No tax returns. No 1099s required.
This works best for business owners whose income flows through a business or personal account. Lenders average your monthly deposits to set your qualifying income.
The core difference is how income gets documented. 1099 loans use your earnings forms. Bank statement loans use your actual cash deposits.
Rates on both run higher than conventional loans. That's the trade-off for flexible qualifying. Rates vary by borrower profile and market conditions.
If clients pay you directly and issue 1099s, use the 1099 loan. It's cleaner and easier to document your income.
If you run a business and revenue hits your bank account, go bank statement. Two years of steady deposits can qualify you for a solid loan in Kern County.
Some lenders allow blended documentation. Ask your broker which approach produces the stronger income calculation for your file.
Yes. Both loan types are available for purchases in Kern County. Loan limits and terms depend on your lender and borrower profile.
Most lenders want at least a 620 score. Some non-QM lenders go lower, but expect the rate to reflect it.
Most programs require 12 months minimum. Twenty-four months gives lenders more confidence and can improve your qualifying income.
They're different, not harder. The income documentation is flexible, but lenders may require larger down payments or charge higher rates.
1099 loans typically have simpler documentation. Bank statement loans take longer if lenders need to analyze business versus personal deposits.