Question 1

Can I use both 1099s and bank statements together?

Accepted Answer

Some lenders allow blended documentation. Most require you to choose one method — we identify which lenders offer flexibility before you apply.

Question 2

Which loan has lower rates — 1099 or bank statement?

Accepted Answer

Neither has a guaranteed rate advantage. Rates vary by borrower profile and market conditions. Your credit score and down payment move the needle more than loan type.

Question 3

What credit score do I need for these loans?

Accepted Answer

Most lenders want at least a 620, with better pricing at 680 and above. Some programs go lower — requirements vary by lender and loan size.

Question 4

How much do I need to put down in Scotts Valley?

Accepted Answer

Expect 10% minimum for most non-QM programs. Larger down payments can improve your rate and expand your lender options.

Question 5

Do these loans have higher rates than conventional mortgages?

Accepted Answer

Yes — both are non-QM products and carry a rate premium. The tradeoff is qualifying without W-2s or full tax return income. Rates vary by borrower profile and market conditions.

Question 6

How long does it take to close a 1099 or bank statement loan?

Accepted Answer

Plan for 21 to 30 days with clean documentation. Incomplete files or large deposit discrepancies extend that timeline.

1099 Loans vs Bank Statement Loans in Scotts Valley