Question 1

Can I use both 1099s and bank statements together?

Accepted Answer

Some lenders allow blended documentation. We shop lenders who offer flexibility on this — it depends on your income structure.

Question 2

Do these loans require a higher down payment?

Accepted Answer

Non-QM loans typically require more down than conventional. Exact requirements depend on credit score and lender guidelines.

Question 3

Which loan has better rates — 1099 or bank statement?

Accepted Answer

Rates vary by borrower profile and market conditions. Neither is universally cheaper — lender, credit score, and LTV drive the final rate.

Question 4

How many years of 1099s do lenders want?

Accepted Answer

Most lenders want one to two years. Consistency in income across those years strengthens your file.

Question 5

What credit score do I need for either loan?

Accepted Answer

Most non-QM lenders start around 620-640. Higher scores open better programs and lower rates.

Question 6

Can I use a personal bank account for a bank statement loan?

Accepted Answer

Yes. Personal accounts avoid the expense ratio haircut applied to business accounts. Both are accepted by most lenders.

1099 Loans vs Bank Statement Loans in San Juan Bautista