Unlike traditional mortgages that require buyers to meet certain thresholds on a significant amount of financial documentation, Bank Statement loans don’t necessarily demand tax returns, W-2s, pay stubs, or employer verification forms in the same way. Lenders like us that offer bank statement loans are different from conventional loans because we won’t ask for those classic proofs of income. Instead, we’ll take a look at your personal bank accounts, or personal and bank accounts together, to determine whether you have the income, cash flow, and other criteria to qualify.
Of course, you’ll still need to provide lenders with a handful of critical pieces of information. These items may include:
- Proof of a consistent income stream in the form of paychecks, royalties, court-ordered payments such as child support/alimony, and more.
- If you made any large purchases recently (in the last 60-90 days). Our team will review any significant changes to your income or spending.
- You should have a stable savings account balance with as few sudden influxes of cash or overdrafts as possible. You should have enough in your savings account to cover several months' worth of mortgage payments.
- One to two years' worth of personal or business bank statements so we can verify stability and consistency
- A solid credit score (speak with your lender to verify which credit score they’re looking for)
- Two years’ or more self-employment history if you own your own business
- Proof of any liquid assets, such as a 401(k) or investments