The wrestling match between filing taxes in order to qualify for a certain house is a tale as old as time. For many years, lenders have turned down self-employed clients due to low-income on showing on the returns. Fannie Mae, Freddie Mac, FHA, VA all require at-least 1 or in some cases, 2 years of tax returns to qualify. "So, you're telling me in 2026, you are looking back to income earned from 2024?" Yes, that is what is required in many cases. While W2 employees can qualify with offer letter or a brand new job right away.
Bank statement loans have completely changed the game. How about instead of looking at old data, write-offs, and penalizing business owners for playing the tax game - that we just take a look at the past 12 months of your income from bank statements & roll? In my opinion, this is a better way to look at trending income anyways.. Either way, these loan types help 1099 contractors, business owners of all types buy a house that they can actually qualify for, without having to worry about tax return data.
We specialize in these types of loans. We do them in-house and just as quickly as any other loan type. And we love to do them. Because we know how many business owners are turned away.
Hayden Allen
Fairway Independent Mortgage Corporation
469-423-1103
hayden.allen@fairwaymc.com
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