Making Homeownership Possible for Self Employed Buyers

Making Homeownership Possible for Self-Employed Buyers

For self-employed borrowers, qualifying for a home loan can be tricky—not because of income, but because traditional guidelines often don’t reflect how entrepreneurs earn and report it. Tax write-offs and variable revenue can make it harder for clients to document income in the way conventional lenders require.

This is wherebank statement loanscan make a difference. Instead of relying on tax returns, these programs use 12–24 months of personal or business bank statements to calculate qualifying income based on actual cash flow. This approach provides a more accurate picture of a client’s earning potential, making homeownership more accessible—especially for those with strong deposits but limited taxable income.

Key benefits include:

• No tax returns required

• Use of business or personal bank statements to demonstrate income

• Higher qualifying potential for borrowers with significant write-offs

• Available for primary residences, second homes, and investment properties

In addition to bank statement programs, other flexible solutions exist for self-employed clients, such as profit-and-loss (P&L) or 1099 income loans. The key takeaway: being your own boss doesn’t have to stand in the way of buying a home. I can help review your clients’ options and match them with the right program—helping your clients access the financing they need to make their next move.