Question 1

Can I use both 1099s and bank statements to qualify?

Accepted Answer

Some lenders allow blended documentation. Ask your broker which method produces the higher qualifying income for your profile.

Question 2

Do these loans require a higher down payment?

Accepted Answer

Non-QM loans typically require 10-20% down. Exact requirements depend on the lender and your credit profile.

Question 3

What credit score do I need for these loans?

Accepted Answer

Most non-QM lenders want a 620 minimum. Stronger scores above 680 open better rate tiers. Rates vary by borrower profile and market conditions.

Question 4

How many months of bank statements do lenders want?

Accepted Answer

Most programs require 12 months minimum. A 24-month average often produces a stronger qualifying income figure.

Question 5

Do lenders apply an expense ratio to business deposits?

Accepted Answer

Yes. Business account deposits are discounted — commonly 50% — to account for business expenses. Personal account statements avoid this reduction.

Question 6

Are these loans available for Huntington Beach condos and investment properties?

Accepted Answer

Yes, both programs can work for condos and investment properties. Non-warrantable condos and investment use cases may require a larger down payment.

1099 Loans vs Bank Statement Loans in Huntington Beach