Question 1

Can I use personal bank statements instead of business accounts?

Accepted Answer

Yes, but business statements typically qualify you at higher income multipliers. Personal accounts work when business and personal finances mix, common for sole proprietors.

Question 2

What if I don't have 24 months of self-employment history?

Accepted Answer

Most lenders require two years minimum. Some accept 12-month programs for established businesses with strong credit and larger down payments.

Question 3

Do all deposits count as income?

Accepted Answer

No. Lenders exclude transfers between your own accounts, reimbursements, and one-time windfalls. Only genuine business revenue or income deposits count toward qualification.

Question 4

How much higher are rates compared to conventional loans?

Accepted Answer

Expect 0.5% to 1.5% higher rates. Exact pricing depends on credit score, down payment size, and the specific lender program you choose.

Question 5

Can I refinance with a bank statement loan?

Accepted Answer

Absolutely. Rate-and-term refinances and cash-out refinances both work with bank statement documentation, following the same qualification rules as purchases.

Bank Statement Loans in Long Beach — Income Verification Without Tax Returns