The Self-Employed Solution: 12-Month Bank Statement Loans

Qualify Based on Your Success, Not Your Tax Returns

As a business owner, your tax returns are designed to minimize what you owe—not to show your true purchasing power. Traditional lenders often look at your “bottom line” after deductions, which can make a high-earning entrepreneur look like they can’t afford a mortgage.

Bank Statement Loans change the game by looking at your actual deposits over the last 12 months to determine your qualifying income.

How it Works

Instead of W-2s or tax filings, we use 12 months of your personal or business bank statements. We calculate your “qualifying income” by averaging your total eligible deposits and applying an Expense Factor.

The Calculation

Underwriters typically use this logic to find your monthly qualifying income:

Note: If you use personal statements, we often count 100% of deposits. If you use business statements, we typically apply a 50% expense factor (unless a P&L from your CPA proves your expenses are lower).

Benefits for Business Owners

• No Tax Returns Required: We don’t care about your write-offs or depreciation.
• High Loan Limits: Often available for jumbo loan amounts up to $3M+.
• Flexible LTVs: You can often secure a home with as little as 10% or 20% down.
• Primary or Investment: Use these loans for your “forever home” or to grow your rental portfolio.