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in Novato, CA
Self-employed borrowers in Novato have two strong non-QM options. Neither requires tax returns to prove income.
Bank Statement and P&L loans solve the same problem differently. Knowing which fits your situation saves time and money.
Bank Statement loans use 12 to 24 months of deposits to calculate your income. Lenders average your deposits, then apply an expense factor.
This works best when your business account shows strong, consistent cash flow. Thin or irregular deposits will hurt your qualifying income.
P&L loans use a CPA-prepared profit and loss statement instead of bank deposits. Your accountant documents income directly.
This option suits borrowers with solid net profit but lower deposit volume. The CPA prepares the statement — lenders accept it as income proof.
Bank Statement loans demand more paperwork but give lenders a raw, verifiable picture of cash flow. P&L loans rely on your CPA's work.
Lender access differs too. More wholesale lenders offer Bank Statement programs. Fewer offer P&L-only options, which can limit rate competition.
High deposit volume? Bank Statement loans likely get you a better rate with more lenders competing for the deal.
Low deposits but strong net profit? A CPA-prepared P&L can qualify income your bank statements can't show. Talk to your accountant first.
Some lenders accept both together to strengthen your file. We'll tell you which combo gets you the best qualifying income.
P&L loans always require a licensed CPA. Bank Statement loans don't, but a CPA can still help structure your application.
Bank Statement loans typically have more lender competition, which helps rates. Rates vary by borrower profile and market conditions.
Most non-QM lenders want at least a 620 score for both programs. Higher scores unlock better pricing on both.
Both programs close in roughly 21 to 30 days. P&L loans can move faster if your CPA turns documents quickly.
Yes, both programs work for investment purchases in Marin County. Expect a higher down payment requirement on non-owner-occupied deals.