Question 1

Can I use both 1099s and bank statements together?

Accepted Answer

Some lenders allow it, but most want one primary method. We identify which approach shows the higher qualifying income for your file.

Question 2

How many years of 1099s do lenders want?

Accepted Answer

Most lenders require one to two years of 1099s. Consistency across both years strengthens your file significantly.

Question 3

Do bank statement loans require business or personal statements?

Accepted Answer

Either can work. Business statements typically require an expense factor applied to deposits. Personal statements are used at face value.

Question 4

Are these loans available for Cotati properties?

Accepted Answer

Yes. Both 1099 and bank statement loans are available in Cotati and throughout Sonoma County. Property type and loan size affect lender options.

Question 5

Which loan typically has a lower rate?

Accepted Answer

Rates vary by borrower profile and market conditions. Generally, the loan with cleaner documentation and stronger income proof gets better pricing.

Question 6

What credit score do I need for either loan?

Accepted Answer

Most non-QM lenders want at least a 620. Scores above 700 open up better rates on both 1099 and bank statement programs.

1099 Loans vs Bank Statement Loans in Cotati, CA