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Rialto sits in San Bernardino County, a region dense with logistics, construction, and trades workers — many earning 1099 income.
Traditional loan programs reject these borrowers. A 1099 loan uses your contractor income directly, not a W-2 that doesn't exist.
620 (typical)
Min Credit Score
1-2 Years 1099s
Income Docs Needed
10-20% typical
Down Payment
Non-QM
Loan Type
Lenders typically want 1-2 years of 1099s. Some use 100% of that income. Others average the two years.
Credit requirements vary by lender. Most want at least a 620 score. Stronger credit opens better pricing.
Most retail banks don't offer 1099 loans. This product lives almost entirely in the wholesale and non-QM channel.
HousingWire noted Pennymac TPO just added a 1099 option to their wholesale lineup — that's more competition, which is good for borrowers.
The biggest mistake I see: contractors write off too much. High deductions kill your qualifying income on tax returns.
With a 1099 loan, your gross earnings — before deductions — do the heavy lifting. That changes everything for high-earning contractors.
Bank statement loans are the closest alternative. They use 12-24 months of deposits instead of 1099 forms.
If your income flows through a business account, bank statement may work better. Pure contractor income? 1099 loans are cleaner.
San Bernardino County has a large base of independent truckers, tradespeople, and gig workers — all prime 1099 loan candidates.
Rialto's proximity to major logistics corridors means stable contractor demand. Steady work history strengthens any 1099 application.
Some lenders accept one year. Most prefer two. Stronger income history reduces risk in the lender's eyes.
Not always, but it helps. Some lenders require proof of self-employment beyond just the 1099 forms.
Lenders typically use gross 1099 earnings. Some apply an expense factor. Ask your broker which method each lender uses.
Yes, typically. Non-QM loans carry more lender risk. Rates vary by borrower profile and market conditions.
Some lenders allow 10% down. Better credit and strong income history improve your chances of lower down payment options.
1099 Loans in Rialto