Question 1

What is a Profit & Loss Statement Loan?

Accepted Answer

It's a non-QM mortgage using CPA-prepared profit and loss statements to verify income. Self-employed borrowers qualify based on business financials rather than tax returns.

Question 2

Do I need a CPA to prepare my P&L statement?

Accepted Answer

Yes, lenders require a licensed CPA to prepare and sign your profit and loss statement. Self-prepared statements typically don't meet lending requirements.

Question 3

How much can I borrow with a P&L Statement Loan in Beverly Hills?

Accepted Answer

Loan amounts depend on your qualified income, credit, and down payment. Many lenders offer jumbo loan amounts suitable for Beverly Hills properties. Rates vary by borrower profile and market conditions.

Question 4

How does a P&L loan differ from a bank statement loan?

Accepted Answer

P&L loans use formal CPA-prepared financials while bank statement loans analyze deposit history. P&L loans often qualify higher income but require professional accounting documentation.

Question 5

Can I use a P&L Statement Loan for investment property in Beverly Hills?

Accepted Answer

Yes, many lenders offer P&L programs for both primary residences and investment properties. Requirements and rates may differ based on property type and occupancy.

Profit & Loss Statement Loans in Beverly Hills - Financing for Self-Employed Borrowers