Question 1

Do I need two years of 1099 income to qualify?

Accepted Answer

Most lenders want two years. Some will work with one year if your income is strong and consistent.

Question 2

Can I use both W-2 and 1099 income?

Accepted Answer

Yes. Lenders can blend both income sources. It often strengthens your file considerably.

Question 3

Will my tax write-offs hurt my qualification?

Accepted Answer

On a standard loan, yes. 1099 loans use gross 1099 income, which avoids the write-off problem.

Question 4

What credit score do I need for a 1099 loan in Aliso Viejo?

Accepted Answer

Most programs start at 620. Better rates start appearing at 700 and above. Rates vary by borrower profile and market conditions.

Question 5

Is a 1099 loan more expensive than a conventional loan?

Accepted Answer

Typically yes. Non-QM loans carry higher rates due to added lender risk. Rates vary by borrower profile and market conditions.

Question 6

How long does a 1099 loan take to close?

Accepted Answer

Most close in 21-30 days. Having your 1099s, bank statements, and CPA letter ready speeds things up.

1099 Loans in Aliso Viejo for Independent Contractors