Question 1

Can I qualify for either loan with one year of self-employment?

Accepted Answer

Some lenders accept one year on both programs. Two years of history gives you access to better rates and more lender options.

Question 2

Do these loans work for Lompoc borrowers with bad credit?

Accepted Answer

Most non-QM lenders want a 620+ credit score minimum. Some go lower, but rates climb fast below that threshold.

Question 3

What's the down payment requirement?

Accepted Answer

Expect 10-20% down on most non-QM programs. Stronger credit and more reserves can push that toward the lower end.

Question 4

Can I use personal bank statements instead of business?

Accepted Answer

Yes. Many bank statement lenders accept personal accounts. Business accounts often yield a higher qualifying income calculation.

Question 5

Which loan closes faster in practice?

Accepted Answer

1099 loans typically require less documentation review. Bank statement loans take longer when deposit patterns are inconsistent.

1099 Loans vs Bank Statement Loans in Lompoc