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in Los Banos, CA
Most Los Banos self-employed borrowers get turned down by conventional lenders. Not because they can't afford the payment — because their tax returns don't show enough income.
Two non-QM options solve this: 1099 loans and bank statement loans. Picking the right one depends on how you get paid and how you run your books.
1099 loans are built for independent contractors and freelancers. Lenders use your 1099 forms — not your tax returns — to calculate income.
This matters because most contractors write off significant expenses. Those deductions kill income on a tax return but don't show up on a 1099.
Bank statement loans use 12 to 24 months of deposits to prove income. Lenders average your monthly deposits and apply an expense ratio.
This works well for business owners whose income flows through a business account. It captures real cash flow that tax returns routinely understate.
The core difference is documentation. 1099 loans rely on earnings forms. Bank statement loans rely on deposit history. Neither touches your tax returns.
Bank statement loans typically allow higher loan amounts and serve a broader range of self-employed borrowers. 1099 loans are narrower — they work best when your contractor income is clean and consistent. Rates vary by borrower profile and market conditions.
If you receive 1099s from clients and don't run a separate business account, the 1099 loan is cleaner and faster. Your income documentation is already there.
If you own a business in Los Banos — trucking, farming, retail, anything with business accounts — bank statements usually show more income and get you a stronger approval.
Some lenders allow blended documentation. We shop across 200+ wholesale lenders to find programs that fit your exact income picture.
Yes. Seasonal or contract farm income paid via 1099 can qualify under a 1099 loan. Consistent deposit history also works under bank statement programs.
Most non-QM lenders want a 620 minimum. Stronger scores get better rates. Rates vary by borrower profile and market conditions.
Expect 10–20% down for most non-QM programs. Your credit score and loan amount affect where you fall in that range.
1099 loans often close faster because the documents are simpler. Bank statement reviews take longer when lenders comb through 24 months of deposits.
Yes, both programs can fund investment properties. Non-QM guidelines vary by lender, so terms depend on the property and your profile.