Self-Employed in Houston? How Bank Statement and Non-QM Loans Work

If you own a business, drive for a living, work commission or get paid on a 1099, you already know the problem: your tax returns show a lot of write-offs, and a traditional lender looks at that bottom line and says no. That does not mean you cannot buy a home.

What Is a Non-QM Loan?

A Non-QM (non-qualified mortgage) loan uses different documents to show you can afford the payment. Instead of relying only on tax returns, options can include:

• Bank statement loans using 12 or 24 months of personal or business deposits
• 1099 income programs
• Asset-based qualifying for buyers with significant savings
• DSCR loans for investors, qualifying on the property’s rental income

What to Expect

Non-QM loans usually need a larger down payment and carry a somewhat higher rate than a conventional loan. Many buyers use one to get into the home now and refinance later once their tax returns show more income.

Is It Right for You?

Send me a few months of bank statements and I will tell you quickly what you qualify for. Learn more on our QM and Non-QM page, and watch for our free Non-QM webinars on the Events page.

Let’s Run Your Numbers

Call or text me at 281-978-2106 or get started on your pre-approval. I will show you every option side by side so you can choose with confidence.

Clifton Saunders, The Mortgage Mentor

Clifton Saunders, NMLS #230688 | New American Funding, NMLS #6606 | Equal Housing Opportunity. Subject to credit approval; not all applicants will qualify. Programs and guidelines change; call or text 281-978-2106 for current details. This article is general information, not tax or legal advice.