Helpful Tips For Getting A Bank Statement Mortgage In Scottsdale, AZ

Self-employed home buyers may find applying for a mortgage difficult even if they have excellent credit and enough money for a downpayment.  Given current industry regulations, most lenders would consider the self-employed to be higher-risk clients than their W2 wage earning counterparts.

If you own 25% of your business, you’re considered self-employed. If you want to get a home loan in Scottsdale, AZ 85255, you must submit your last two years of tax returns and a year-to-date profit and loss statement to prove your income.

Here are things you need to keep in mind if you want to qualify for a loan as a self-employed worker:

Save for a down payment

Putting down a larger amount upfront makes you a better risk from a lender’s perspective. If you are getting an FHA loan, you need to put down 3.5%, while conventional loans may require 5% or higher.

If you want to learn more, you can ask an experienced bank statement mortgage lender in Maricopa County, AZ.

Boost your credit scores

Loan products have minimum credit requirements that you need to meet to qualify. It is always a good idea to check your credit report before applying for a mortgage. This gives you the chance to correct errors if you find any and boost your credit scores.

If you want to learn more, you can ask about our self-employed home loan from Castle Rock Mortgage.

Prove that you have a stable or increasing income

Underwriters will examine your last two years of tax returns to calculate your income. They will analyze all data to determine if your income is stable and not decreasing.

If your income is proven to be on a downward path, you may have a harder time getting approval.

Manage your business and personal debts

You need to show your lender that you have separate business and personal bank accounts and prove that debts are paid through business so that they won’t count against your debt ratio.

Submitting a year's worth of checks to verify that debts are being paid directly out of a business account is enough proof for most lenders. It would help if you refrained from getting new loans for 12 months before buying a house.

Get in touch with Castle Rock Mortgage in Scottsdale, AZ, about self-employed home loans.

Next Steps

If you are self-employed and you want to increase your chances of getting a loan, you need to prepare your bank statements to prove that you are a reliable candidate for a loan.

You need to provide at least two bank statements so that lenders can verify if you have taken out a loan or borrowed money from someone to be able to qualify for your home loan.

Bank statements can be easily downloaded from your financial institution’s website.

Get in touch with one of our loan officers today to determine if you qualify for a bank statement mortgage in Scottsdale, Maricopa County.


* Specific loan program availability and requirements may vary. Please get in touch with the mortgage advisor for more information.