Question 1

Can I use either loan type in Riverside, CA?

Accepted Answer

Yes, both Bank Statement and P&L Statement Loans are available to self-employed borrowers in Riverside. Your lender can help determine which option fits your documentation and financial situation best.

Question 2

Which loan is faster to process?

Accepted Answer

Bank Statement Loans are typically faster since you don't need CPA-prepared documents. You can usually gather 12-24 months of statements quickly from your bank.

Question 3

Do these loans have higher rates than traditional mortgages?

Accepted Answer

Non-QM loans often have different pricing than conventional loans. Rates vary by borrower profile and market conditions. Your credit, down payment, and financial strength all impact your rate.

Question 4

Can I switch from bank statements to P&L during the process?

Accepted Answer

Switching documentation types may require restarting underwriting. It's best to choose your approach upfront. Discuss both options with your lender before applying.

Question 5

Do I need to be self-employed for a certain time period?

Accepted Answer

Most lenders require at least two years of self-employment history. The bank statements or P&L must cover the required timeframe to verify consistent income.

Bank Statement Loans vs Profit & Loss Statement Loans in Riverside, CA