Bank Statement Loans
Mortgage financing options for eligible self-employed borrowers who may benefit from using bank statements to document income.
When your tax returns don't tell the whole story
Self-employed borrowers often take legitimate business deductions that lower the income shown on their tax returns. That's smart for taxes, but it can make qualifying for a traditional mortgage harder.
Bank statement loans take a different approach: instead of relying mainly on tax returns, the lender reviews deposits on your personal or business bank statements over a set period, commonly 12 or 24 months, to calculate qualifying income according to the program's guidelines.
Borrowers who often explore this option
- Business ownersOwners of LLCs, S-corps, partnerships and sole proprietorships.
- Independent contractors1099 earners, consultants and freelancers with steady deposits.
- Real estate professionalsInvestors and others whose income comes from commissions or projects.
- Primary homesMany programs can be used for a home you'll live in.
- Second homes and rentalsSome programs also allow second homes and investment properties.
- Purchase or refinanceOptions may be available for buying or refinancing, subject to eligibility.
What you may be asked for
Every lender has its own checklist. Commonly requested items include:
- Bank statementsConsecutive personal or business statements for the program's review period.
- Proof of self-employmentSuch as a business license, a CPA or tax preparer letter, or similar documentation.
- Credit reviewYour credit history, reviewed with your permission.
- Down payment and reservesVerification of funds for closing and any required reserves.
Please don't email bank statements or account numbers. When it's time to apply, you'll upload documents through a secure application process.
Self-employed? Let's talk through your income.
Tell me about your business and what you're looking to finance, and I'll explain the options you may be eligible for.
Subject to eligibility, underwriting and applicable lender requirements. This is not a commitment to lend.