Question 1

Can I use my own P&L or does a CPA have to prepare it?

Accepted Answer

Lenders require a CPA to prepare and sign your P&L statement. Self-prepared statements don't meet underwriting standards for non-QM approval.

Question 2

What if my business is only 18 months old?

Accepted Answer

Most P&L programs require two years of self-employment history. Some lenders accept 12 months if you have strong reserves and credit.

Question 3

Do I qualify if I show a loss on my tax returns?

Accepted Answer

Yes, that's the point. P&L loans use gross profit from your CPA statement, not tax return income after write-offs.

Question 4

How long does P&L loan approval take in West Sacramento?

Accepted Answer

Expect 30-45 days if your CPA statement is formatted correctly. Delays happen when lenders request revised documentation from your accountant.

Question 5

Can I combine P&L income with W-2 income from a spouse?

Accepted Answer

Yes, most lenders allow you to combine your P&L income with a co-borrower's W-2 income for qualification purposes.

P&L Statement Loans for West Sacramento Self-Employed Borrowers