Question 1

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

Accepted Answer

No — lenders pick one method per loan. Your broker chooses whichever produces the higher qualifying income for your file.

Question 2

Which loan has stricter credit requirements?

Accepted Answer

Both are non-QM loans. Most lenders want at least a 640-660 score for either program, though requirements vary by lender.

Question 3

Do these loans work for Rocklin purchase transactions?

Accepted Answer

Yes. Both 1099 and bank statement loans work for purchases and refinances in Rocklin and across Placer County.

Question 4

How much down payment do these loans require?

Accepted Answer

Most non-QM lenders require 10-20% down. The exact amount depends on your credit score and the lender's guidelines.

Question 5

Are rates higher on these loans than conventional?

Accepted Answer

Yes. Non-QM loans carry higher rates than conventional loans. Rates vary by borrower profile and market conditions.

Question 6

What if my 1099 income dropped last year?

Accepted Answer

A dip in recent 1099 income can hurt your qualifying amount. Bank statements may show stronger deposits and work better for your file.

1099 Loans vs Bank Statement Loans in Rocklin, CA