Question 1

Can I use both personal and business bank statements?

Accepted Answer

Some lenders allow a mix, but most want one or the other. Personal statements usually produce higher qualifying income.

Question 2

Do I need to be self-employed for two years?

Accepted Answer

Most lenders require a two-year self-employment history. A CPA letter or business license helps confirm it.

Question 3

What credit score do I need in King City?

Accepted Answer

Most bank statement programs start at 640. Better scores get better rates. Rates vary by borrower profile and market conditions.

Question 4

Can seasonal ag income qualify?

Accepted Answer

Yes, if 12-24 months of statements show consistent deposit patterns. Lenders average across all months, including slow ones.

Question 5

How does the expense factor work on business statements?

Accepted Answer

Lenders reduce gross deposits by a set percentage — often 50%. That remainder is your qualifying income.

Question 6

Are bank statement loan rates higher than conventional rates?

Accepted Answer

Yes. Non-QM loans carry more lender risk, so rates run higher. Rates vary by borrower profile and market conditions.

Bank Statement Loans in King City, CA