Self-Employed Home Loans:

Income Qualification: Based on property's rental income, not borrower's personal income.

Minimum DSCR: As low as 0.75x, providing flexibility for investors.

Property Types: Single-family homes, multi-family properties (2-4 units), condos, and even condotels.

Maximum LTV: Up to 80% for most properties.

Investor-Friendly: First-time and experienced investors welcome.

Interest-Only Option: Available for qualified borrowers, offering lower initial payments.

Gift Funds: Allowed for down payment and closing costs.

Mixed-Use Properties: Allowed for 2-8 units and 5-10 residential units, with up to 75% LTV.

Reserve Requirements: 2 months of mortgage payments typically required.

Benefits: Ideal for real estate investors who want to leverage property cash flow for financing.

Income Verification: Uses 1 or 2 years of 1099 forms to qualify borrowers.

Maximum DTI: 50%, ensuring affordability.

Expense Factor: Automatic 10% deduction for business expenses.

YTD Earnings: Verification of year-to-date earnings is required.

Maximum Loan Amount: Varies by lender and income.

Loan Purposes: Purchase, rate/term refinance, cash-out refinance (unlimited cash out available).

Property Types: Primary residence, second home, and investment properties allowed.

Loan Term Options: 40-year fixed-rate terms with interest-only options available.

Additional Documentation: 4506-C form to verify employer-reported income.

Benefits: Tailored for freelancers and independent contractors with 1099 income, providing flexible underwriting and loan options.

Income Verification: Requires only 12 months of tax returns, ideal for recent business owners.

Maximum LTV:

• 90% LTV for loan amounts up to $1.5 million.

• 70% LTV for loan amounts with a 640 FICO score.

Loan Term: 40-year fixed-rate mortgage.

Interest-Only Period: 10-year interest-only option available, followed by 30-year amortization.

Loan Purpose: Purchase, rate/term refinance

Property Types: Primary residence, second home, investment property

Benefits: Lower documentation requirements, flexible terms

Ideal for: New business owners, self-employed professionals with limited tax history

Income Verification Flexibility: Allows 1 tax return combined with other income documentation (bank statements, assets, etc.).

Asset Depletion: Option to supplement income using remaining assets, with calculations based on DTI.

Loan Term: 40-year fixed-rate mortgage with 10-year interest-only option.

Borrower Types: Ideal for foreign nationals, non-permanent resident aliens, and ITIN borrowers.

Property Types: Allows for multi-unit properties (up to 10 units), mixed-use properties, non-warrantable condos, and condotels.

Benefits: Flexible income verification, diverse property options, and extended loan term for long-term financial planning.

Maximum LTV: Varies by lender and property type.

Additional Documentation: May include asset statements, visa/passport (for foreign nationals), and other relevant financial documentation

Flexible Documentation: Choose from full documentation, 2, 12, or 24 months of bank statements, or alternative income verification.

High LTV Options:

• 90% LTV for purchases (up to $2 million loan amount).

• 80% LTV for cash-out refinances.

• 85% LTV for full doc investment properties or with interest-only payments.

Maximum DTI: 50%

Loan Purposes: Purchase, rate/term refinance, cash-out refinance (unlimited).

Property Types: Primary residence, second home, and investment properties.

Interest-Only Option: Available for qualified borrowers.

Benefits: Flexible documentation options, higher LTV for qualified borrowers, and diverse property eligibility.

Ideal for: Borrowers who may not meet traditional income requirements but have strong assets and credit.

Income Verification: Uses 2 months of business bank statements and a 12 or 24-month P&L statement prepared by a CPA or tax professional.

Maximum DTI: 50%, ensuring affordability.

Maximum LTV: Up to 90% of the property value.

Business History: Requires at least 2 months of business operation.

Income Calculation: Net income from the P&L statement is divided by 12 or 24 months to determine monthly qualifying income.

Additional Documentation: Business narrative and accountant's letter are required to provide context and verification.

Loan Purposes: Primarily for purchase or refinance transactions.

Benefits: Streamlined documentation for new businesses or those with fluctuating income, ideal for self-employed borrowers who may not have traditional tax returns.