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Finding Solutions For Self-Employed Borrowers


In today’s mortgage industry, it’s common to have clients who are freelancers, contractors, gig workers, and other self-employed borrowers. At MortgageDepot, we understand the unique challenges these borrowers face, and we have tailored solutions to meet their needs. Our knowledgeable team of non-QM lending experts is here to help. Let’s take a closer look at the features in our Non-QM lineup.

Features of Our Non-QM Lineup

  •  BANK STATEMENTS – 12 & 24-month options: We offer flexibility by accepting bank statements as proof of income for self-employed borrowers. Choose between 12 or 24-month bank statement options.
  • All document types accepted: We understand that self-employed borrowers may have different types of income documentation. That’s why we accept various document types, including bank statements, 1-year 1099, WVOE only, Asset Utilization, and P&L only – with no additional bank statements required.
  • Self-prepared P&L accepted: We recognize that self-employed borrowers may have the expertise to prepare their own profit and loss statements. With us, self-prepared P&L statements are accepted without the need for additional bank statements.
  • No-income investor cash flow – with No Minimum DSCR*: We offer a unique solution for investors with no minimum Debt Service Coverage Ratio (DSCR) requirement. This allows investors to qualify based on the cash flow of the property, even without personal income.
  • Recent credit events accepted: We understand that life happens, and credit events such as foreclosure, bankruptcy, or short sale may have occurred. Our Non-QM lineup considers recent credit events, giving borrowers a chance to qualify.
  • Up to 90% LTV: We offer loan-to-value (LTV) ratios of up to 90%, providing borrowers with more financing options.
  • Up to 55% DTI: We understand that self-employed borrowers may have higher debt-to-income (DTI) ratios due to business expenses. Our Non-QM lineup allows for DTIs of up to 55%.
  • Flexible loan terms: We offer a variety of loan terms to suit different needs. Choose from a 40-year fixed-rate mortgage with an Interest-Only option or adjustable-rate mortgages (ARMs) with Interest-Only options, including 5/6, 7/6, and 10/6 ARMs.
  • Unlimited cash-out with 6-months seasoning: Borrowers can access their home equity with unlimited cash-out options, provided there is a 6-month seasoning period.
  • FICOs from 600: We understand that credit scores can vary for self-employed borrowers. That’s why we accept FICO scores from 600 and above.
  • Appraisal Transfers Accepted: If you have recently obtained an appraisal for your property, we accept appraisal transfers, saving you time and money.
  • Only 30 days of assets to verify funds for closing: We streamline the closing process by requiring only 30 days of asset verification, making it easier for self-employed borrowers to provide proof of funds.

At MortgageDepot, we are committed to finding more ways to qualify self-employed borrowers. Contact our team today to learn more and explore the possibilities for your clients.

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