Question 1

Do I need two full years of 1099 income to qualify?

Accepted Answer

Most programs want two years, but some lenders accept one year with strong income and good credit. It depends on the lender.

Question 2

Will my tax write-offs hurt my 1099 loan approval?

Accepted Answer

Not on a 1099 loan. Lenders use your gross 1099 income, not your taxable income after deductions.

Question 3

What credit score do I need for a 1099 loan in Petaluma?

Accepted Answer

Most non-QM lenders start at 620. Higher scores get you better rates — 700+ opens more programs.

Question 4

Can I use multiple 1099 clients to qualify?

Accepted Answer

Yes. Lenders add up income from all your 1099 sources. Diversified clients can actually strengthen your file.

Question 5

How do 1099 loan rates compare to conventional rates?

Accepted Answer

Expect rates slightly higher than conventional loans. Non-QM programs carry more flexibility, and that has a cost. Rates vary by borrower profile and market conditions.

Question 6

Is a 1099 loan the same as a bank statement loan?

Accepted Answer

No. A 1099 loan uses your contractor income forms. A bank statement loan uses deposit history. Different docs, different programs.

1099 Loans in Petaluma for Independent Contractors