Question 1

Can I use both 1099s and bank statements together?

Accepted Answer

Some lenders allow layered documentation. A broker can shop programs that accept multiple income sources to strengthen your file.

Question 2

Which loan has stricter credit requirements?

Accepted Answer

Both are non-QM loans with flexible guidelines. Most lenders want at least a 620-640 score, but requirements vary by lender.

Question 3

Do these loans cost more than conventional loans?

Accepted Answer

Yes, non-QM loans typically carry higher rates than conventional financing. Rates vary by borrower profile and market conditions.

Question 4

How much down payment do these loans require?

Accepted Answer

Most non-QM programs require 10-20% down. The stronger your credit and income documentation, the lower the requirement tends to be.

Question 5

Which loan closes faster in Porterville?

Accepted Answer

Speed depends on how quickly you pull your documents together. Both programs have similar timelines — usually 21 to 30 days with a prepared borrower.

Question 6

What if my 1099 income dropped last year?

Accepted Answer

Lenders typically average one to two years of income. A significant drop may hurt your qualifying amount — bank statements could show a stronger recent picture.

1099 Loans vs Bank Statement Loans in Porterville