Question 1

Who prepares the P&L statement for this loan?

Accepted Answer

Your CPA or licensed tax professional must prepare and sign it. Lenders won't accept self-prepared P&Ls.

Question 2

Can I use a P&L loan to buy in Rohnert Park?

Accepted Answer

Yes. P&L loans work for purchases and refinances in Sonoma County. Loan limits depend on the lender and your qualifications.

Question 3

How is income calculated from a P&L?

Accepted Answer

Lenders use the net income shown on your CPA statement. They may average 12 or 24 months depending on the program.

Question 4

Do P&L loans have higher rates than conventional?

Accepted Answer

Yes, typically. Non-QM products carry a rate premium over conventional. Rates vary by borrower profile and market conditions.

Question 5

What if my P&L shows losses in one year?

Accepted Answer

One down year can hurt your qualifying income. A 24-month average helps smooth that out if the other year was stronger.

Question 6

Can I use a P&L loan if I just started my business?

Accepted Answer

Most lenders want at least 2 years of self-employment. Some accept 12 months with strong financials and larger down payments.

P&L Statement Loans for Self-Employed Buyers in Rohnert Park