Why Should you use a Bank Statement Loan?

If you’re self-employed or have a unique income situation, you’re probably wondering if you qualify for a traditional mortgage. Bank statement loan programs are a great option, mostly for self-employed borrowers. If you don’t have the typical documentation required for a mortgage, such as tax returns or W-2 forms then a bank statement loan is right for you.

What is a bank statement loan program?

A bank statement loan program is a untraditional mortgage program. This program allows you to qualify based on your bank statement deposits.  Traditional loans use tax returns which is income filed after deductions. This is a great option for self-employed borrowers, small business owners, and retirees who may have difficulty providing traditional income verification.

Benefits of bank statement loan programs

There are several benefits to bank statement loan programs, including:

• Easier to qualify for: Bank statement loan programs are generally easier to qualify for than traditional mortgages. This is because lenders are less concerned with your taxable income and more concerned with your ability to make monthly mortgage payments.
• No tax returns required: Bank statement loan programs don’t require you to provide tax returns. This can be a big advantage if you’re self-employed or have a unique income situation.
• Higher loan amounts: Bank statement loan programs often allow borrowers to qualify for higher loan amounts than traditional mortgages. This is because lenders are more focused on your cash flow than your taxable income.
• Flexible down payment options: Bank statement loan programs typically offer flexible down payment options. This can make it easier to afford a down payment on a home.

Who is eligible for a bank statement loan program?

Bank statement loan programs are available to a wide range of borrowers, including:

• Self-employed borrowers
• Small business owners
• Retirees
• Borrowers with unique income situations
• Borrowers with less-than-perfect credit

How to apply for a bank statement loan program

If this is your situation, you’ll need to provide us with 12 to 24 months’ worth of bank statements. We will review your bank statements to assess your income and cash flow. We can review your loan application and get a decision to you in less than 24 hours.

Once you’ve been approved for a bank statement loan program, you can start shopping for a home immediately. We’ll offer you the most competitive rates with the best terms available.

Conclusion

Bank statement loan programs are a great option for self-employed borrowers. Mostly for those who don’t have the typical income documentation. If you’re self-employed, have a unique income situation, or less-than-perfect credit, you need to consider a bank statement loan program.

Click here for our Bank Statement Loan Qualifier