Question 1

Can I use just one year of 1099 income to qualify?

Accepted Answer

Some lenders allow 12-month 1099 income. It depends on the lender and your overall profile.

Question 2

Do I need to be incorporated to get a 1099 loan?

Accepted Answer

No. Sole proprietors qualify. You just need documented 1099 income and two years of self-employment history.

Question 3

How is my qualifying income calculated?

Accepted Answer

Lenders average your 1099 income over 12 or 24 months. They don't subtract business expenses like a tax return would.

Question 4

Will my tax write-offs hurt my qualification?

Accepted Answer

Not with a 1099 loan. Lenders use gross 1099 income, not your taxable income after deductions.

Question 5

What down payment do I need in El Cajon?

Accepted Answer

Most 1099 loan programs require 10-20% down. Stronger credit scores can mean lower down payment requirements.

Question 6

Are 1099 loan rates higher than conventional rates?

Accepted Answer

Yes. Non-QM loans carry higher rates than conventional. Rates vary by borrower profile and market conditions.

1099 Loans in El Cajon for Independent Contractors