Question 1

Can I qualify if I just started getting 1099 income?

Accepted Answer

You need 12-24 months of 1099 history in the same field. Recent W-2 to 1099 switches usually require waiting until you hit the 24-month mark.

Question 2

Do my business write-offs reduce my qualifying income?

Accepted Answer

No. 1099 loans use gross income from your 1099 forms, not the net income shown on tax returns after deductions.

Question 3

What if I have multiple 1099 clients?

Accepted Answer

That's fine. Lenders add up all 1099 income from the past 12-24 months. They just want to see continuous work in your field.

Question 4

How much higher are 1099 loan rates?

Accepted Answer

Expect 0.5-1.5% above conventional rates as of February 2026. Exact pricing depends on credit score, down payment, and lender. Rates vary by borrower profile and market conditions.

Question 5

Can I use crypto holdings to qualify?

Accepted Answer

Some non-QM lenders now accept verified cryptocurrency as reserves or income. This is new as of 2026 and not all lenders offer it yet.

Question 6

What down payment do I need in Santa Clara?

Accepted Answer

Minimum is 10% for owner-occupied homes, 20% for investment properties. Larger down payments improve your rate and approval odds.

1099 Loans in Santa Clara: Mortgages for Independent Contractors