Guide to Getting a Mortgage Loan for Self-Employed Homebuyers

Reliablecounter Team

Are you self-employed and thinking of getting a mortgage loan? Being self-employed is exciting, adventurous, and comes with many benefits. It is the reason why many people head down this path. In a survey, the Bureau of Labor Statistics reported that nearly 10% of US workers are self-employed.

However, there are some problems faced by self-employed homebuyers. One such problem is not being able to get a mortgage loan. For many employees, getting a mortgage loan is not a challenging task; this is because they have a proof of steady income. The lenders have to ensure that you can afford the mortgage loan.

This doesn’t mean self-employed workers can’t get mortgage loans. They can get the loan but will require additional paperwork in order to verify their income. Since the requirements might be different, you need the help of a professional to apply for the mortgage loan and reduce the risk of rejection. Jake Taylor offers mortgage loans to self-employed homebuyers.

This post is a guide for self-employed homebuyers to get a mortgage loan. Continue reading!

 

 

Self Employed Bank Statement Loan Highlights:

  • $4 Million Loan Amounts
  • 90% Loan Based on Purchase Price (10% Down Payment)
  • Credit Scores Down to 600
  • 2 years self-employed required

 

 

Loan Documentation Options

 

Qualify with full documentation

  • Loan amounts up to $4MM | Cash Out Refi up to $2.5MM
  • Up to 8 financed properties allowed
  • DTI (debt to income) up to 55%
  • Min FICO Score 600
  • Min reserves – 3 Months
  • No More than 1 Mortgage Lates in past 12 Months

 

Qualify with 12-months to 24-months of bank statements

  •  Loans up to $4MM | Cash Out Refi to $2.5MM
  •  Debt to income ratio up to 43% allowed with minimum FICO score of 680
  •  Minimum reserves of 6 months and no mortgage lates for 24 months is required
  •  One Borrower must be self-employed and may have a W-2 co-borrower

 

Qualify based on verified liquid assets

  • Loan amounts up to $4MM | Cash Out Refi up to $2.5MM
  • Usable Assets: Bank Statements, Stocks & Bonds, 401K, Mutual Funds
  • No employment or income on 1003
  • No DTI (debt to income)ratio calculated
  • Min FICO score 600

 

Qualify based on verified liquid assets

  • Loan amounts up to $4MM | Cash Out Refi up to $2.5MM
  • Usable Assets: Bank Statements, Stocks & Bonds, 401K, Mutual Funds
  • No employment or income on 1003
  • No DTI (debt to income) ratio calculated
  • Min FICO score 600

Planning Ahead

One of the major steps in increasing the chance of approval is by planning everything. This will make the whole process easy and simple. With proper and meticulous planning, you will not have any problem in getting a mortgage loan.

So, it is better to plan every step beforehand to minimize the problems when acquiring a mortgage loan.

Record Keeping

Another thing you need to focus on is your finances and record keeping. In order to prevent discrepancies in your net income, you need to make sure these adjustments are made when preparing a tax return.

 

Don’t Mix Your Finances

It is crucial for you to have clear finances. You must keep your business and personal funds separate. For instance, if you have a business equipment on your personal credit report, it might adversely affect your personal credit report. This is why it is important to clean your finances before you can apply for a mortgage loan.

Meet With your Lender

It is recommended to meet your lender before applying for the mortgage loan. This will help in limiting the risk of rejection. It is because you will have a clear idea about the requirements for a mortgage loan and you will know what documents you are required to provide.

In most cases, the lender will let you know your chances of getting a loan by looking at your tax returns. It is suggested to bring your accountant along if you think there will be any problem related to your net income.

 

Tips for Getting Approved for Mortgage Loan

Here are some of the tips you need to follow to improve your chances of getting the loan.

Improve your Credit History

One of the best tips to enhance the chances of getting a mortgage loan. Before applying, you need to check your credit history to see if there are any problems. Lenders might reject your application if you don’t have a good credit history. Some lenders might even charge you high-interest rates if your credit score is low. So, to increase your chances of getting a mortgage loan, look out for areas of concern and work on them.

Save More

It is crucial for borrowers to save money. You must not spend your savings on the down payment. This is important for having an emergency fund, it will let the lenders know that you can still make payments.

Pay Off Your Debts

You can even improve your credit score by paying your debt. It will help in maintaining a low debt-to-income ratio. This is attractive for lenders and increases your chance of getting approved for a mortgage loan.

In the end, if you want to get Mortgage loans, Jake Taylor is a perfect choice. We have many years of experience in the lending industry. We are here to help all the self-employed homebuyers in getting approved for mortgage loans. We have extensive knowledge of the rules and regulations, so you can rest assured your chances of rejection are minimal. We will take care of all the form filling and gather documents on your behalf and even submit the documents. This will allow you time to focus on other important tasks. For more details, kindly get in touch with us.

 

 

Of course, there are many more loan options to choose from that we have available to help fit your financial goals and objectives with your real estate purchase.  Please don’t hesitate to reach out for an opinion or a simple conversation.  I’m happy to help where I can.  Information is free!  Thanks for your time, and I wish you well in your search.

 

Jake Taylor   –   jake@jaketaylor.com

855-Call-Jake Toll Free

480-999-3339 Local

 

The Jake Taylor Team at Pilot Mortgage, LLC

727 W Ray Rd #B7

Gilbert, AZ 85233