Question 1

Can I use both bank statements and a P&L together?

Accepted Answer

Some lenders allow both documents. Using both can strengthen your file if either method alone shows lower income.

Question 2

Do both loans require a minimum credit score?

Accepted Answer

Yes. Most non-QM lenders want at least a 620 score. Some P&L programs require 660 or higher.

Question 3

Which loan closes faster in Upland?

Accepted Answer

Bank statement loans often close faster. P&L loans depend on your CPA's turnaround time for the statement.

Question 4

How much down payment do these loans require?

Accepted Answer

Expect 10% to 20% down for both loan types. Lower down payments usually mean higher rates.

Question 5

Are rates higher on P&L loans than bank statement loans?

Accepted Answer

They're often comparable. Both carry non-QM rate premiums above conventional loans. Rates vary by borrower profile and market conditions.

Question 6

Does my CPA need special certification to prepare the P&L?

Accepted Answer

Most lenders require a licensed CPA or tax professional. A self-prepared P&L is not accepted.

Bank Statement vs P&L Loans for Upland Self-Employed Buyers