Question 1

Can I use both 1099s and bank statements to qualify?

Accepted Answer

Some lenders blend both, but most ask you to pick one method. Bank statements usually win if they show higher income than your tax returns.

Question 2

Do 1099 loans have lower rates than bank statement loans?

Accepted Answer

Rates are similar—both are non-QM products priced on credit, down payment, and income stability. Expect 7-8% range as of February 2026.

Question 3

How far back do I need statements or 1099s?

Accepted Answer

1099 loans need two years of tax returns. Bank statement loans need 12 or 24 months of statements, depending on the lender.

Question 4

Can I qualify with inconsistent income?

Accepted Answer

1099 loans average two years, so one weak year drags you down. Bank statements use recent months, which helps if income is climbing.

Question 5

Do both options work for investment properties in Belmont?

Accepted Answer

Yes. Both loan types cover primary homes and investment properties. Expect higher down payments for non-owner-occupied purchases.

1099 Loans vs Bank Statement Loans in Belmont: Which Non-QM Option Fits Your Business?