Question 1

Who prepares the P&L statement?

Accepted Answer

A licensed CPA must prepare it. Lenders verify the CPA's credentials before accepting the document.

Question 2

Can I use one year of P&L history?

Accepted Answer

Some lenders accept 12 months. Most prefer 24. A longer track record strengthens your file significantly.

Question 3

Are P&L loans available in Merced County?

Accepted Answer

Yes. Non-QM lenders don't restrict lending to coastal markets. Dos Palos and surrounding areas qualify.

Question 4

How does the lender calculate my income?

Accepted Answer

They use net income from the P&L, sometimes with add-backs for depreciation. Each lender has slightly different guidelines.

Question 5

What credit score do I need for a P&L loan?

Accepted Answer

Most non-QM lenders want 680 or above. Lower scores may still qualify but expect a higher rate.

Question 6

Can I refinance with a P&L loan later?

Accepted Answer

Yes. If your income documentation improves, you can refinance into a conventional loan down the road.

P&L Statement Loans for Self-Employed Buyers in Dos Palos