Who This Loan Is For
- Self-employed borrowers with strong bank deposits
- Business owners with significant tax deductions
- Contractors, consultants, and commission-based earners
- Borrowers whose tax-return income does not tell the full financial story
Flexible Solutions
Bank Statement Loans for Self-Employed California Borrowers
A flexible mortgage option for self-employed borrowers and business owners whose bank deposits may better reflect real cash flow.
Benefits
- Uses personal or business bank statements to help evaluate income
- Alternative documentation path for self-employed borrowers
- Purchase, refinance, and cash-out options may be available
- Helpful for business owners with complex income
Qualification Requirements
- Many programs review 12 or 24 months of bank statements
- Deposit history, expense factor, ownership percentage, credit, assets, and reserves may be reviewed
- Final qualifying income depends on program guidelines and documentation quality
Guidelines vary by lender and scenario. This page is general information only and is not a commitment to lend.
Common Scenarios
- A business owner has strong deposits but significant tax deductions
- A contractor or consultant needs alternative income documentation
- A self-employed homeowner wants to refinance or access equity
Questions
Bank Statement Loans FAQ
How do bank statement loans calculate income?
Bank statement programs typically review deposits over a required period, often 12 or 24 months. The lender may apply an expense factor and ownership percentage to estimate qualifying income.
Do I still need tax returns?
Some bank statement programs may not rely on tax-return income for qualification, but requirements vary. The lender may still request business documentation, bank statements, credit, assets, and property information.
Can bank statement loans be used for refinance or cash-out?
Yes, many bank statement programs may allow purchase, rate-and-term refinance, or cash-out refinance scenarios. Eligibility depends on equity, credit, reserves, documentation, and lender guidelines.