Loading
Bank Statement Loans in Industry
Industry hosts commercial properties and self-employed operators who need flexible income documentation. Traditional W-2 verification doesn't work when your income flows through business accounts.
Bank statement loans use 12 to 24 months of deposits to calculate qualifying income. This works for contractors, warehouse operators, and small business owners who write off most of their taxable income.
You need 12 months of business or personal bank statements showing consistent deposits. Lenders calculate income by averaging monthly deposits, then apply a deduction factor for expenses.
Expect 10-20% down depending on credit and property type. Most lenders require 620+ credit scores, though some go down to 600 for stronger profiles with larger down payments.
Bank statement programs vary widely between lenders on how they calculate income. Some use gross deposits, others net deposits after business expenses. The calculation method changes your qualifying amount by 20-30%.
We compare programs across multiple non-QM lenders to find which income calculation works best. One lender might qualify you for $600K while another caps you at $450K using the same statements.
Most self-employed borrowers leave money on the table by not organizing statements properly. Separate business accounts qualify easier than mixed-use personal accounts with inconsistent deposits.
The 24-month option typically qualifies more income than 12 months if your business is growing. But if revenue dropped recently, stick with 12 months to capture higher historical deposits.
1099 loans work if you have consistent contractor income from a few clients. Bank statement loans handle more complex income streams with multiple revenue sources and fluctuating monthly deposits.
Profit and loss statement loans require CPA preparation, which adds cost and time. Bank statements are faster if you don't already work with an accountant who can certify your P&L.
Industry's commercial real estate market means many residents own warehouses, distribution centers, or manufacturing operations. These business types generate strong bank deposits but minimal taxable income after depreciation.
Properties in Industry often serve dual purposes as business locations and residences. Bank statement loans work for owner-occupied purchases while DSCR loans fit pure investment properties better.
Yes, personal statements work if business income deposits there. Lenders prefer separate business accounts because they're easier to underwrite and typically qualify more income.
Transfers between your own accounts, loan proceeds, and one-time windfalls get excluded. Only recurring business revenue deposits count toward income calculation.
You need enough to cover the mortgage payment plus debts with debt-to-income under 50%. Calculate roughly 2.5x your monthly housing payment in average deposits.
No, but big fluctuations make underwriting harder. Lenders average the deposits, so a few low months get balanced by higher months.
Yes, most lenders let you stack W-2 wages with bank statement business income. This works well if you have a day job plus side business.
Bank statement loans typically run 1-2% higher than conventional rates. Rates vary by borrower profile and market conditions based on credit score and down payment.
Mortgage financing for independent contractors and freelancers who earn 1099 income instead of traditional W-2 wages.
Mortgage programs that allow borrowers to qualify based on liquid assets rather than traditional employment income.
Short-term financing that bridges the gap between buying a new property and selling an existing one.
Debt Service Coverage Ratio loans that qualify investors based on a rental property's income rather than personal income.
Mortgage programs designed for non-US citizens and non-permanent residents who want to purchase property in the United States.
Asset-based short-term loans primarily used by real estate investors for property acquisition and renovation projects.
Mortgages that allow borrowers to pay only the interest for an initial period, resulting in lower monthly payments upfront.
Financing solutions tailored for real estate investors purchasing rental properties, fix-and-flip projects, or investment portfolios.
Home loans for borrowers who have an Individual Taxpayer Identification Number instead of a Social Security number.
Adjustable rate mortgages held in a lender's portfolio rather than sold on the secondary market, offering more flexible terms.
Non-QM mortgages that use a CPA-prepared profit and loss statement to verify income for self-employed borrowers.
Home loans with interest rates that adjust periodically based on market conditions after an initial fixed-rate period.
Specialized mortgage programs designed to support homeownership in underserved communities with flexible qualification criteria.
Mortgages that meet the guidelines and loan limits set by Fannie Mae and Freddie Mac for secondary market purchase.
Financing for building a new home or making major renovations, typically converting to a permanent mortgage upon completion.
Traditional mortgage financing not backed by a government agency, offering flexible terms and competitive rates for qualified borrowers.
Innovative loan products that leverage projected home equity growth to provide favorable financing terms.
Government-insured mortgages from the Federal Housing Administration with low down payments and flexible credit requirements.
A revolving line of credit secured by your home equity that allows you to borrow funds as needed during a draw period.
A fixed-rate second mortgage that provides a lump sum of cash by borrowing against the equity built in your home.
Mortgages that exceed the conforming loan limits set by the FHFA, designed for financing high-value luxury properties.
Loans for homeowners aged 62 and older that convert home equity into cash without requiring monthly mortgage payments.
Government-backed zero down payment mortgages for eligible rural and suburban homebuyers who meet income limits.
Government-guaranteed mortgages for eligible veterans, active-duty service members, and surviving spouses with zero down payment.