Question 1

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

Accepted Answer

No, lenders pick one method per loan. We run both scenarios and use whichever qualifies you for more house or better terms.

Question 2

Which program has lower rates in Industry?

Accepted Answer

Rates are similar since both are non-QM. Your credit score and down payment affect pricing more than the income documentation method.

Question 3

Do I need two years of self-employment for both options?

Accepted Answer

Yes, most lenders want two years of consistent self-employment history. Some accept one year with strong compensating factors.

Question 4

Can I use business bank statements instead of personal?

Accepted Answer

Yes, business bank statements work. Some lenders prefer them if you run all income through a business account.

Question 5

What if my 1099 income varies month to month?

Accepted Answer

Lenders average your income over 12-24 months. Seasonal fluctuations are fine as long as the trend is stable or growing.

1099 Loans vs Bank Statement Loans in Industry, CA: Which Fits Your Self-Employment Income?