Bank Statement Loans

Bank Statement Loans

A bank statement loan is often an excellent option for qualified self-employed borrowers. However, self-employed borrowers must choose the best loan product to help fulfill their mortgage needs.

Contact Us To Know More
Mortgage Power Inc/ bank statement loans

What are Bank Statement Loans?

Bank statement loans are a variety of non-qualified mortgage loans that let you qualify based on bank statements instead of tax returns. The lender will require the borrowers to provide a certain number of months' worth of bank statements to demonstrate their ability to repay the loan. This allows self-employed borrowers to access home loans, even if their taxes don't signify their total income. Bank statement mortgage programs are often a good option for self-employed individuals, business owners, and retirees who need an alternative income verification option.

Click & Learn

20% Down payment
Perfect Credit
Interest Rates
Finding A House
30-Year Fixed-Rate Mortgages

20% Down payment

Myth

You need 20% down to purchase a home.

Fact

This isn't true. If you take out a conventional loan, you can buy a home with as little as 3% down.

Perfect Credit

Myth

You must have perfect credit to qualify for a mortgage.

Fact

Credit plays a significant role in your ability to get a home loan. However, this doesn’t mean you need perfect credit to buy a home.

Interest Rates

Myth

Mortgage interest rates are the same no matter what lender you work with.

Fact

The truth is that rates can vary from lender to lender. So for your financial safety, you should shop around when looking for a mortgage loan.

Finding a house

Myth

Find a house, then worry about a mortgage.

Fact

This is terrible advice at any time, but in a hot seller’s market like today’s, believing this myth can lead you to miss out on a home altogether.

30-Year Fixed-Rate Mortgages

Myth

A 30-year fixed-rate mortgage is always the best choice

Fact

If you can afford higher payments, you can own your home outright in less time and for less money with a 15-year fixed-rate mortgage.

How do Bank Statement Loans work?

The application procedure for a bank statement loan varies from a conventional mortgage. When you apply, you'll need to provide the lender bank statements from the past year or two instead of the past two or three months, as well as information about your business and expenses. In addition, you'll need to provide statements if you have personal and business accounts.

The type of business, the number of employees, and the business's physical location are some of the questions that bank statement lenders want to know to decide the expense factor.

Depending on your credit score, you might also need to make a bigger down payment. Generally, you may be eligible for a bank statement loan with a score as low as 620, but a 700 or higher gets you a better rate and terms.

Types of Bank Statement Loans

Different bank statement loan programs are available depending on the lender and your particular situation. For example, while most lenders require a minimum of 12 months of bank statements, some may need less. Remember that applicants who can provide 24 months of statements may qualify for better rates and terms.

Additionally, some lenders may require your business bank statements instead of personal bank statements. Therefore, you may still be able to use your statements with those lenders if you don't have business bank statements. However, they might use a smaller percentage of your deposits for qualifying purposes.

In some situations, borrowers also may be required to provide a profit and loss statement (P&L) for their business prepared by a tax professional.

QUICK HOME FINANCING

Uniting human expertise with advanced technology, we deliver personalized mortgage solutions that expedite loan processing and minimize costs.

Phone

(623) 888-9050

E-mail

randy@mortgagepowerinc.com

Address

6424 W Misty Willow Ln
Glendale, AZ 85310

Name(Required)
Disclosure:
The content provided within this website is presented for information purposes only. This is not a commitment to lend or extend credit. Information and/or dates are subject to change without notice. All loans are subject to credit approval. Other restrictions may apply. Mortgage loans may be arranged through third party providers.
© 2024 Mortgage Power Inc, Designed by Amplispot
linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram