Unconventional Mortgages - A Wealth of Information and Service
Contact a Loan Officer: (800) 718-8906
Contact a Loan Officer: (800) 718-8906
Our bank statement loan services help self-employed borrowers qualify for mortgage financing using eligible bank deposits rather than traditional tax returns. We review your bank statements, identify qualifying income deposits, evaluate applicable business expense factors, and calculate monthly income for debt-to-income (DTI) qualification.
This preliminary review helps determine which bank statement loan programs, lenders, and underwriting guidelines are most appropriate for your financial situation before proceeding with a full mortgage application.
Our bank statement pre-underwriting process is designed to establish your qualifying monthly income before submitting your loan to a lender’s underwriting department.
Depending on the available loan programs, borrowers may qualify using 1, 2, 3, 6, 12, or 24 months of personal or business bank statements. Each program has its own income calculation requirements, documentation standards, credit score guidelines, and loan-to-value (LTV) limits.
Your Loan Officer reviews the available statements, calculates qualifying income, and evaluates the results against applicable lender guidelines. When appropriate, the income calculation can be submitted to a lender’s account executive or income review department for confirmation before moving forward with the full loan process.
The objective is to identify potential qualification issues early, establish a supportable income figure, and reduce unnecessary documentation requests during underwriting.
Your Loan Officer evaluates the statements to distinguish qualifying business income from deposits that may not be eligible for mortgage qualification.
The review may include:
This analysis helps establish a more accurate income calculation and identifies potential underwriting questions before the loan is submitted.
Bank statement lenders generally evaluate eligible deposits over the required statement period and apply an expense factor when applicable to determine qualifying income.
For business bank statements, the lender may deduct a percentage of eligible deposits to account for operating expenses. Personal bank statement programs may use different calculation methods depending on the lender and how business income is deposited into the account.
Business expense factors vary by lender, loan program, industry, and documentation requirements. Some lenders apply a predetermined expense percentage, while others permit alternative expense calculations supported by additional documentation.
For example, if eligible business deposits average $30,000 per month and the lender applies a 30% expense factor, the resulting qualifying monthly income would be $21,000.
The appropriate expense factor may depend on:
Because lenders apply different income calculation methods, the same bank statements may produce different qualifying income amounts under different loan programs.
Not all Non-QM mortgage lenders calculate bank statement income the same way. Each lender establishes its own requirements for eligible deposits, expense factors, income documentation, statement periods, and acceptable exceptions.
A borrower who does not qualify with one lender’s income calculation may qualify with another lender using a different acceptable methodology.
Our role is to evaluate available lending options and identify programs whose guidelines best align with your documented income, credit profile, property type, requested loan amount, and financing objectives.
Following the initial bank statement analysis, your Loan Officer may request clarification regarding certain deposits, transfers, or account activity.
For example, deposits transferred between personal and business accounts may require additional review to prevent the same income from being counted twice. Unusual deposits may need to be identified as business revenue, while certain recurring transactions may require an explanation of how the business operates.
When necessary, your Loan Officer can discuss these items with the lender’s Wholesale Account Executive and request a preliminary income review.
Depending on the lender, this process may involve an income worksheet, supporting documentation, or direct review by a designated income calculation department.
Addressing these questions in advance helps reduce discrepancies between the preliminary income calculation and the amount ultimately accepted during underwriting.
Our bank statement loan service is intended to help borrowers understand their financing options before committing to the full mortgage application process.
We can review your bank statements, estimate qualifying income, evaluate debt-to-income ratios, and identify potentially suitable loan programs without an initial hard credit inquiry.
When applicable, we may also compare different statement periods or lender expense calculations to determine which option offers the most favorable qualification outcome.
**A preliminary income review does not constitute loan approval.** Final qualifying income, loan terms, and approval remain subject to the selected lender’s underwriting guidelines, verification requirements, and review of the complete loan file.
Complete our Mortgage Pre-Qualification Form – No Credit Check to have a Loan Officer review your financing objectives and determine which bank statement loan options may be available.
Our preliminary consultation and income review services are provided at no cost and without an initial hard credit inquiry.