Personal Bank Statement Loans In San Diego

Self-employed individuals and freelancers often need to seek alternative mortgages, and one such example is a bank statement loan. Using personal bank statements, you can verify your cash flow and income without the traditional tax returns or W-2s.

Features of a Personal Bank Statement Loan 

• Provides an opportunity for freelancers or those who are self-employed to qualify for a mortgage using alternative documentation.
• Ideal if you claim tax deductions or have inconsistent income.
• You’ll provide between 12 and 24 months of bank statements to verify income and cash flow.
• 100% of deposits are typically counted for personal accounts, compared to a lower percentage for business accounts to account for overheads.
• These loans typically have higher down payments and interest rates, but flexible DTI requirements.

Benefits of Personal Bank Statement Loans In San Diego

• Bypass the need for tax returns and W-2s.
• Suitable for non-traditional earners and those who claim tax deductions.
• Lenders assess actual earning power.
• Flexible guidelines, including a more forgiving debt-to-income ratio requirement.

Important Things to Consider with San Diego Personal Bank Statement Loans 

• Lenders will not apply an expense ratio to personal bank accounts.
• Since a bank statement loan is considered a non-QM loan, the lender carries a higher risk, and this is sometimes reflected in down payments and interest rates.