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Bank Statement Home Loans: No Tax Returns Required
- Qualify using 12–24 months of bank statements, no tax returns required
- Compare rates from 100+ lenders based on your income scenario, and close
- No impact on credit
- Takes 1 min
Is a bank statement loan a good choice for you?
Bank statement loans are designed for self-employed borrowers whose tax returns don’t reflect their real income.
Get a rate quoteA bank statement loan may be a good fit if you:
- are self-employed or own a business
- have strong cash flow but significant tax write-offs
- cannot qualify using traditional W-2 or tax return documentation
- want to qualify based on deposits instead of reported income
- are comparing bank statement vs. 1099 or conventional loans
- need a more flexible path to qualifying
General Bank Statement Loan Requirements
Self-employment history
- Typically two years of self-employment or business ownership. Some programs may accept one year when the borrower has prior experience in the same industry.
Bank statements
- Usually 12 or 24 consecutive months of personal or business bank statements, including every page.
Some specialized programs may accept fewer months under stricter conditions.
Credit score
- Minimums vary considerably.
Certain programs accept scores around 600–620, while stronger credit (often 680 or higher) may be needed for the lowest down-payment options.
Down payment
- As little as 10% down may be available for highly qualified borrowers. Depending on credit, loan amount and financial history, a lender may require 15%–25% or more.
Qualifying deposits
- Statements should show regular, consistent deposits.
Transfers between accounts, borrowed funds and other non-income deposits are generally excluded, while large or unusual deposits may need to be documented.
Business ownership
- Borrowers generally need to document their ownership of the business.
Some current programs require at least 25% ownership when business bank statements are used.
Debt-to-income ratio
- The borrower must have sufficient calculated monthly income to cover the proposed housing payment and existing debts.
The maximum DTI depends on the lender, credit score, down payment and overall strength of the application
Property requirements
- A satisfactory appraisal is generally required. Eligibility may include primary residences, second homes and investment properties, depending on the individual program.
Additional documentation
- Borrowers may need a business license, CPA or tax-preparer letter, proof of business existence, year-to-date profit-and-loss statement, identification, asset statements and housing-payment history.
Personal vs. Business Bank Statements
Bank statement loans are flexible, but approval depends on the strength of your full financial profile.
Other lenders/Banks
Other
Lenders shopped
100+
Limited to 1
Non QM Loans
Yes
Limited
Minimum credit score
550
640+
DTI Requirements
55%
43%
Fast-track Underwriting
Yes
No
Approval Rate
93%
Lower
Closing time
7-21 days
30 days
Dedicated Loan Officer
Yes
No
Availability
24/7
Limited
Average response time
<1hour
<1 day
Today's live rates
See live lender rates from 100+ wholesale lenders. Customize your details to see your best available options today.
500+ Reviews from
Client Reviews: 30 Years of 5-Star Mortgage Service
For over 30 years, we’ve helped self-employed borrowers with complex or multiple income sources qualify with ease.
Frequently asked questions
What is a bank statement loan?
A bank statement loan is a type of non-QM mortgage that allows self-employed borrowers to qualify using bank deposits instead of tax returns.
Do bank statement loans require tax returns?
In many cases, no. Most programs allow qualification using only bank statements, although some lenders may request additional documentation depending on the file.
How is income calculated on a bank statement loan?
Lenders analyze monthly deposits. For business accounts, they often apply an expense factor (commonly 25%–50%) to estimate usable income.
How much down payment do you need?
Typically 10–20% down, depending on credit score, income consistency, and overall loan strength.
What credit score is required?
Many programs start around 600–620, with better pricing for higher scores.
Are bank statement loans more expensive?
They can have slightly higher rates than conventional loans due to flexibility, but they allow qualification when traditional methods don’t work.
Can you use bank statement loans for investment properties?
Yes, in some cases. Eligibility depends on the lender, down payment, and overall borrower profile.
Is a bank statement loan better than a 1099 loan?
It depends. Bank statement loans work better when income flows through accounts, while 1099 loans work better when income is clearly documented through 1099 forms.
Start Your Pre Approval
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- No impact on credit
- Takes 1 min
- No docs needed
