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in Tehama, CA
Self-employed borrowers in Tehama have two strong non-QM options. Neither requires W-2s or tax returns to prove income.
The right choice depends on how you get paid. Your income documentation type drives everything here.
1099 loans are built for independent contractors and freelancers. Lenders use your 1099 forms — not tax returns — to calculate income.
This matters because tax returns often show heavy deductions. Your 1099 gross income is typically much higher.
Bank statement loans use 12 to 24 months of deposits to verify income. Lenders average your monthly deposits to calculate qualifying income.
This works well for business owners who mix personal and business accounts. Lenders typically apply an expense ratio to business deposits.
Local decision guide
Use this comparison to weigh 1099 Loans and Bank Statement Loans through local payment fit, eligibility, documentation, and timing before choosing a path in Tehama.
Self-employed borrowers in Tehama have two strong non-QM options. Neither requires W-2s or tax returns to prove income.
The right choice depends on how you get paid. Your income documentation type drives everything here.
1099 loans are built for independent contractors and freelancers. Lenders use your 1099 forms — not tax returns — to calculate income.
The core difference is your income source. Do clients pay you directly via 1099? Or does income flow through a business account?
Bank statement loans require more paperwork and a longer documentation window. 1099 loans are simpler if you have clean annual 1099s from clients.
If you're a freelancer or contractor paid by multiple clients, a 1099 loan is usually the cleaner path. Your income is already documented annually.
If you run a business and pay yourself from a business account, bank statement loans typically give you more qualifying power. Talk to us — we'll run both scenarios.
Some lenders allow combined documentation. It depends on the lender program — we shop across 200+ wholesale lenders to find the right fit.
Yes, non-QM loans carry higher rates than conventional loans. Rates vary by borrower profile and market conditions.
Most non-QM lenders want at least a 620 score. Higher scores unlock better pricing on both loan types.
Most programs require 10% down minimum. Larger down payments typically improve your rate and approval odds.
Yes, both loan types can be used for investment properties. Expect stricter down payment requirements on non-owner-occupied deals.
Expect 30 to 45 days for most non-QM loans. Document prep upfront is the biggest factor in closing speed.