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Stanton sits in the heart of Orange County, home to thousands of small business owners. Conventional loans lock most of them out. P&L loans fix that.
A CPA prepares your profit and loss statement. That document replaces tax returns as your income proof. Simple concept, big impact.
620+
Min Credit Score
CPA P&L Only
Income Docs
10–20%
Down Payment
12 or 24 Months
P&L Period
Your CPA prepares a 12 or 24-month P&L statement. Lenders use that to calculate qualifying income. Tax write-offs no longer kill your approval.
Credit score requirements vary by lender. Most want 620 or higher. Down payments typically start at 10% but expect 20% for better rates. Rates vary by borrower profile and market conditions.
P&L loans are non-QM products. Your bank doesn't offer them. You need a broker with access to wholesale non-QM lenders.
We work with 200+ wholesale lenders at SRK CAPITAL. Several specialize in P&L and self-employed programs. That means real options, not one take-it-or-leave-it quote.
The biggest mistake self-employed borrowers make: waiting until tax season. Your P&L can be prepared any time. Don't stall your purchase.
Lenders scrutinize how your CPA calculated net income. A sloppy P&L gets flagged fast. Use a licensed CPA, not a bookkeeper. That distinction matters at underwriting.
Bank statement loans use 12-24 months of deposits to verify income. P&L loans use your accountant's summary instead. P&L is faster to prepare but requires a trusted CPA.
1099 loans work if your income comes from contracts or gig work. P&L loans fit business owners better. If you have a schedule C and write off everything, P&L is likely your path.
Stanton has a dense mix of small retail, food, and service businesses. Many owners have strong cash flow but low taxable income. P&L loans were designed for exactly this profile.
Orange County home prices make loan size a real consideration. P&L loans can go into jumbo territory. Confirm your lender's max loan amount before you start shopping properties.
A licensed CPA must prepare it. Lenders won't accept self-prepared statements. The CPA's credentials are verified during underwriting.
Yes. P&L loans work for purchases and refinances. Property location doesn't disqualify you.
Most lenders require 2 years of self-employment history. Some will accept 1 year with strong documentation.
Yes, typically. Non-QM loans carry a rate premium for the added flexibility. Rates vary by borrower profile and market conditions.
A net loss disqualifies you. The lender uses net income to qualify. Losses don't work even if cash flow is strong.
Yes. Mixed income borrowers can combine W-2 and business income. Your lender determines how each source is counted.
Profit & Loss Statement Loans in Stanton