Loan Programs · Self-employed and non-QM

Home loans that understand self-employed income

Business owners often write off expenses, which lowers the income on their tax returns. That is smart tax planning, but it can make a traditional mortgage harder. A bank statement loan uses your actual deposits to show what you earn.

Bank Statement Loans for the Self-Employed explained

A bank statement loan is a non-QM mortgage that qualifies self-employed borrowers using 12 or 24 months of personal or business bank statements instead of tax returns. The lender averages qualifying deposits and, for business accounts, applies an expense factor or uses a CPA-prepared profit and loss statement. These loans can be used for primary homes, second homes and investment properties. Guidelines for credit, down payment and reserves vary by investor, and all loans are subject to credit approval and program guidelines.

Who it fits

  • Business owners, consultants and independent contractors
  • Real estate agents, brokers and other commission-earning professionals
  • Gig workers and 1099 earners with steady deposits
  • Borrowers whose tax returns understate their cash flow
  • Self-employed buyers who recently grew their business

Florida specifics

  • South Florida has a large base of small business owners, real estate professionals and seasonal workers whose income fits this program well.
  • Florida has no state personal income tax, but federal write-offs still lower the income on your returns, which is why bank statements can help.
  • Lenders review condo projects and insurance just as they do for conventional loans, so building issues still matter.
  • Seasonal businesses in tourism and hospitality may benefit from a 24-month look-back to smooth out busy and slow seasons.

How it works with Justin

  1. We review your statements to estimate qualifying income using different look-back periods.
  2. We compare investor programs and expense factors to find the best fit.
  3. You get a preapproval based on that income.
  4. Underwriting verifies your business and deposits, and you close.

Documents to gather

  • 12 or 24 months of personal or business bank statements
  • Proof of at least two years of self-employment, such as a business license or CPA letter
  • CPA-prepared profit and loss statement if the program allows
  • Explanation of any large or unusual deposits
  • Asset statements for down payment and reserves

Things to consider

  • Pricing is usually higher than for conventional loans that use tax returns.
  • Down payment requirements are often larger.
  • Transfers between your own accounts do not count as income, so clean statements help.
  • If your tax returns already show strong income, conventional may cost less.

Share a few details and Justin will tell you whether Bank Statement fits, with real numbers for your loan.

Bank Statement Loans for the Self-Employed: common questions

How does a bank statement loan calculate income?

The lender averages your qualifying deposits over 12 or 24 months. For business accounts, it typically subtracts an expense factor or uses a profit and loss statement. Transfers and one-time deposits are usually excluded.

How long do I need to be self-employed?

Many programs look for about two years of self-employment, though some may accept less with prior experience in the same field. Guidelines vary by investor.

Can I use personal bank statements instead of business statements?

Yes, many programs allow either. Personal statements often count more of each deposit, but they need to show business income flowing in clearly.

Are bank statement loans only for primary homes?

No. Many programs allow second homes and investment properties as well. Terms may differ by occupancy.

Is a bank statement loan more expensive?

Usually somewhat, since these are non-QM loans with more flexible documentation. Many borrowers use them to buy, then refinance into a conventional loan once their tax returns show enough income.

Related loan programs

  • No-Doc and Non-QM Loans — Non-QM mortgages in South Florida: asset depletion, 1099, P&L-only and other alternative documentation loans for borrowers who don't fit the usual mold.
  • DSCR Loans — DSCR loans for Florida real estate investors: qualify on rental cash flow instead of tax returns. How the ratio works, LLC closings and South Florida tips.
  • Jumbo Loans — Jumbo mortgages for South Florida homes above the 2026 conforming limit of $832,750 in Palm Beach, Broward and Miami-Dade. Reserves, condos and more.
  • Conventional Loans — Conventional home loans for South Florida buyers and owners: 2026 conforming limits for Palm Beach, Broward and Miami-Dade, down payment and PMI basics.

South Florida areas where it fits

Guides on this topic

See all 21 loan programs, mortgage loans in Florida, or every state where Justin lends.

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