Question 1

Can I use 1099 income if I only started contracting six months ago?

Accepted Answer

Most lenders require 12 months minimum of 1099 history to establish income stability. Some will consider shorter timelines if you transitioned from W-2 work in the same industry.

Question 2

Do I need to provide tax returns with a 1099 loan?

Accepted Answer

Many 1099 loan programs skip tax returns entirely and qualify you on gross 1099 income. Some lenders request returns to verify you filed but don't use them for income calculation.

Question 3

What if my 1099 income dropped significantly last quarter?

Accepted Answer

Lenders average your income over 12-24 months, so one weak quarter won't tank your application. Consistent year-over-year trends matter more than seasonal dips.

Question 4

Can I combine 1099 income from multiple businesses?

Accepted Answer

Yes, lenders will total all your 1099 income sources as long as you can document them. Diversified income often strengthens your file compared to single-client dependence.

Question 5

How much higher are rates compared to conventional loans in Beverly Hills?

Accepted Answer

Rates vary by borrower profile and market conditions, but expect 1-2 percentage points above conventional pricing. Strong credit and larger down payments push you toward the lower end of that range.

1099 Loans in Beverly Hills: Mortgages Built for Independent Contractors and Business Owners