It is no secret that mortgage rates have been on the rise in 2022.  Although rates are up, it is not all doom and gloom in the mortgage markets.

One of the bright spots in the mortgage space is the increase in mortgage options for self employed borrowers.  Many self employed borrowers are unable or unwilling to document their income.  There are many reasons why self employed borrowers are unable to traditionally document their true income with tax returns.  Write offs, deductions. one time capital expenses among other things can have an impact on how income is traditionally viewed by a mortgage underwriter.

In some cases, a borrower may be able to document their true income, but are uninterested in providing the endless stacks of documentation required for underwriting.

For these self employed borrowers, there are great new options available.  One of these options is the One Year Profit and Loss Statement Mortgage.  Yes, it is all there in the name.  A well qualified, self employed borrower only required to provide a one year unaudited profit and loss statement.  In addition, the client will be asked to provide the two most recent months business bank statements.

In terms of income documentation, for a self employed borrower – it is as simple as that!

A self employed borrower can take advantage of this program for a home purchase, rate & term refinance and even a cash-out refinance.  The One Year Profit and Loss Statement can be used for a primary home, second home and even an investment property.

There are options available with credit scores all the way down to 660.  The best terms available (including as little at 10% down on a purchase) with credit scores of 740+.

For any self employed borrower with difficult to document income – this is loan to give serious consideration.