Question 1

Who prepares the P&L statement for this loan?

Accepted Answer

It must be prepared and signed by a licensed CPA. Self-prepared statements are not accepted by non-QM lenders.

Question 2

Can I use a P&L loan to buy in Woodland with 10% down?

Accepted Answer

Some lenders allow 10% down on P&L loans. Your credit score and income strength determine which programs are available.

Question 3

Are P&L loan rates higher than conventional rates?

Accepted Answer

Yes. Non-QM loans carry more risk for lenders, so rates run higher. Rates vary by borrower profile and market conditions.

Question 4

How long does my business need to be operating?

Accepted Answer

Most lenders require at least 2 years of self-employment history. Some non-QM programs allow 1 year with strong financials.

Question 5

Can I use a P&L loan to refinance my current Woodland home?

Accepted Answer

Yes. Both purchase and refinance transactions are eligible. Cash-out refinances are also available through non-QM lenders.

Question 6

Do lenders verify the P&L against my bank statements?

Accepted Answer

Many do. Lenders often request 3–6 months of business bank statements to confirm the P&L numbers are reasonable.

P&L Loans for Self-Employed Buyers in Woodland, CA