Loading
in Loma Linda, CA
Most Loma Linda buyers with self-employment income get rejected by conventional lenders. Two non-QM options actually work: 1099 loans and bank statement loans.
Both skip the W-2 requirement. But they verify income differently — and that difference determines which one fits your situation.
1099 loans are built for independent contractors and freelancers. Lenders use your 1099 forms — not tax returns — to calculate qualifying income.
This matters because most contractors write off heavy expenses. Tax returns show low income. Your 1099s show what you actually earned.
Bank statement loans use 12 to 24 months of deposits to prove income. Lenders apply an expense ratio — typically 50% — to calculate net qualifying income.
This works best for business owners with consistent monthly revenue. If your deposits are steady, the math works in your favor.
1099 loans qualify you on gross 1099 earnings. Bank statement loans qualify you on deposited revenue minus an expense ratio. The same borrower can get a higher qualifying income under one method.
Credit and down payment requirements are similar across both products. The real fork in the road is your income type: are you paid via 1099s, or do you run a business with its own bank account?
If you receive 1099s from clients — rideshare, consulting, healthcare staffing — the 1099 loan is the cleaner path. Loma Linda has a large medical and healthcare contractor workforce. This loan was designed for that profile.
If you run a business and revenue flows into a business checking account, bank statement loans usually win. Bring 24 months of statements when possible — more data means a stronger file.
You can get quoted on both. SRK CAPITAL runs your scenario across lenders for each product to find the better qualifying income.
Yes. Non-QM loans carry higher rates than conventional loans. Rates vary by borrower profile and market conditions.
Most lenders want 1 to 2 years of 1099s. Two years gives you a stronger, more consistent income picture.
Most non-QM lenders want at least a 620 score. Stronger scores get better pricing on both products.
Yes. Lenders accept personal or business accounts. Business accounts often show cleaner income separation.
Close times depend on how quickly you provide documentation. Complete files on either product typically close in 21 to 30 days.