Question 1

Who prepares the P&L statement?

Accepted Answer

Your CPA prepares and signs it. Lenders won't accept a borrower-prepared P&L.

Question 2

Can I use one year of P&L to qualify?

Accepted Answer

Some lenders accept 12 months. Others require 24. It depends on the lender and your credit profile.

Question 3

Do P&L loans carry higher rates than conventional loans?

Accepted Answer

Yes. Non-QM products price higher than conventional. Rates vary by borrower profile and market conditions.

Question 4

Is a P&L loan a good fit for Sonoma wine business owners?

Accepted Answer

Often yes. Seasonal and business income that looks low on taxes can look stronger on a well-prepared P&L.

Question 5

Can I refinance later into a conventional loan?

Accepted Answer

Yes. Many borrowers use P&L loans to purchase, then refinance once tax returns reflect stronger income.

P&L Loans for Self-Employed Buyers in Sonoma