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in Mariposa, CA
Most Mariposa buyers with self-employment income get rejected by conventional lenders. That's where 1099 and bank statement loans come in.
Both are non-QM products — they skip the standard W-2 income check. The difference is how each one proves what you actually earn.
1099 loans are built for independent contractors and freelancers. Your 1099 forms replace the tax returns lenders normally require.
This works well if your 1099 income is consistent and clearly documented. Lenders typically want 1-2 years of 1099s from the same line of work.
Bank statement loans use 12 to 24 months of deposits to calculate your income. Lenders apply an expense ratio to your deposits to estimate net income.
This works for any self-employed borrower — even if your 1099s are inconsistent or you run income through a business account.
Local decision guide
Use this comparison to weigh 1099 Loans and Bank Statement Loans through local payment fit, eligibility, documentation, and timing before choosing a path in Mariposa.
Most Mariposa buyers with self-employment income get rejected by conventional lenders. That's where 1099 and bank statement loans come in.
Both are non-QM products — they skip the standard W-2 income check. The difference is how each one proves what you actually earn.
1099 loans are built for independent contractors and freelancers. Your 1099 forms replace the tax returns lenders normally require.
The core difference is documentation. 1099 loans use your income forms. Bank statement loans use your actual cash flow.
If you write off a lot on taxes, bank statements may show stronger income than your 1099s do. That can mean a bigger loan approval.
Go with a 1099 loan if your contract income is clean, consistent, and well-documented. It's a simpler paper trail.
Choose a bank statement loan if you run a business, have variable income, or take aggressive deductions that make your 1099s look low.
Some lenders allow blended documentation. We can shop that option across our lender network to find the best fit.
Yes, non-QM loans carry higher rates than conventional products. Rates vary by borrower profile and market conditions.
Most lenders want at least 2 years in the same field. Some 1099 programs accept 12 months with strong income.
Most non-QM lenders want a 620 minimum. Stronger scores get better rates and terms on both products.
1099 loans often have a simpler review process. Bank statement loans take longer to underwrite due to deposit analysis.