Question 1

Do I need 12 or 24 months of statements?

Accepted Answer

Most lenders offer both options. 24 months usually gets you better pricing. 12 months works but expect a slightly higher rate.

Question 2

Can I use a mix of business and personal accounts?

Accepted Answer

Some lenders allow it. Most prefer you pick one. Mixing accounts complicates the income calculation and can hurt your qualifying number.

Question 3

Will seasonal farm income hurt my application?

Accepted Answer

Not if you pick the right lender. Some non-QM lenders understand ag income cycles. Others average deposits in ways that penalize seasonal earners.

Question 4

How do bank statement loans compare to conventional rates?

Accepted Answer

Bank statement loans carry higher rates than conventional loans. Rates vary by borrower profile and market conditions.

Question 5

How long do I need to be self-employed?

Accepted Answer

Most lenders require 2 years of self-employment. A CPA letter confirming your business is active for that period is typically required.

Question 6

Can I refinance with a bank statement loan?

Accepted Answer

Yes. Rate-and-term and cash-out refinances are both available. Cash-out can be useful for business owners tapping home equity.

Bank Statement Loans for Self-Employed Buyers in Salinas