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in Eastvale, CA
Self-employed borrowers in Eastvale have two strong mortgage options. Both 1099 Loans and Bank Statement Loans help people without W-2 income buy homes.
These non-QM loans work differently than traditional mortgages. Each uses unique documentation to verify your income. Understanding both helps you choose the best fit for your situation.
1099 Loans are built for independent contractors and freelancers. They use your 1099 forms to prove income instead of W-2 wages.
This option works well if you receive 1099s regularly. Your tax documents become your proof of steady income. Lenders review your 1099 history to determine what you can afford.
Bank Statement Loans use 12 to 24 months of bank statements to verify income. This non-QM option serves self-employed borrowers without traditional documentation.
Lenders analyze deposits in your business or personal accounts. They calculate your average monthly income from your statements. This approach captures income that tax returns might not show fully.
The main difference is how lenders verify your income. 1099 Loans rely on tax forms while Bank Statement Loans analyze deposits.
Bank Statement Loans may help if you claim many deductions. They show gross income before write-offs. 1099 Loans work best when your forms clearly show strong income. Both require solid credit and down payments.
Choose 1099 Loans if you receive multiple 1099 forms annually. This works when your tax documents accurately reflect your earning power.
Pick Bank Statement Loans if you take significant business deductions. They help when deposits show higher income than tax returns. Consider your documentation and how you report income when deciding.
A local Eastvale mortgage broker can review your specific situation. They will compare both options and help you get the best terms. Rates vary by borrower profile and market conditions.
Yes, many self-employed borrowers qualify for both. A broker will determine which offers better terms based on your documentation and income picture.
Rates vary by borrower profile and market conditions. Both are non-QM loans with similar rate ranges. Your credit score and down payment affect your rate more than loan type.
1099 Loans require your 1099 forms, typically for two years. Bank Statement Loans need 12 to 24 months of statements. Both require standard mortgage documents too.
Yes, both loan types are available throughout Eastvale and Riverside County. Local mortgage brokers specialize in helping self-employed borrowers access these programs.
No, but credit requirements apply to both. Most non-QM lenders want scores above 600. Higher scores improve your rates and terms significantly.