Question 1

Can I use both 1099s and bank statements?

Accepted Answer

No, lenders pick one method per loan. Choose whichever shows stronger income for your situation.

Question 2

Which program has lower rates?

Accepted Answer

Rates vary by borrower profile and market conditions. 1099 loans sometimes price 0.125-0.25% better when documentation is clean.

Question 3

Do I need a higher credit score for bank statement loans?

Accepted Answer

Both typically require 620 minimum. Bank statement loans may need 640+ for best pricing.

Question 4

Can I count deposits from multiple accounts?

Accepted Answer

Yes with bank statement loans. You can combine business and personal accounts for income calculation.

Question 5

Which works better for vacation rental income?

Accepted Answer

Bank statement loans capture Airbnb and VRBO deposits better. 1099s won't show this income properly.

1099 Loans vs Bank Statement Loans in Grover Beach: Which Fits Your Business?