Bank statement mortgage lenders are becoming increasingly popular among borrowers who don’t have traditional income sources, such as self-employed individuals or those freelancing or working on a contract basis.
Unlike conventional mortgage lenders, bank statement lenders use the borrowers’ bank statements to verify income and evaluate their ability to repay the loan.Connect with a vetted bank statement loan lender.
Bank statement loan lenders generally ask for up to two years of bank statements when evaluating the loan application. The loan’s interest rate and repayment terms will typically vary depending on the lender, the loan amount, and the borrower’s creditworthiness.
Not all lenders provide bank statement mortgages, but that trend is changing. More traditional lenders are beginning to offer this program alongside conventional loan products, although low mortgage rates can be challenging to find.
Since finding a lender offering bank statement mortgages with good interest rates can be one of the bigger hurdles of this type of financing, we’ve pulled together a bank statement loan lender list to help you get started.
What’s in this article?
Best Bank Statement Mortgage Lenders for 2023
Non-traditional lenders are a great financing choice for borrowers looking for a home loan without having to worry about standard mortgage documentation processes.
When choosing a lender, consider the entire loan offering—including fees, interest rates, and loan terms.
Interest rates and terms can vary significantly depending on the lender you choose. And, as always, be sure to carefully review the loan terms before signing anything.
Let’s look at the top bank statement mortgage lenders for 2023.
This one’s a little self-serving but worth mentioning.
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Loan amounts go up to $3.5 million with 24 months of bank statements. Your FICO score can be as low as 640, although you should expect stricter terms for lower credit.
CashCall can issue bank statement loans in CA, AZ, FL, TN, UT, NV, and GA.Connect with CashCall or another reputable bank statement loan lender.
Their bank statement program provides financing for qualified self-employed borrowers to purchase or refinance a primary, second home, or investment property. Loans can also be used to purchase single-family, townhomes, or condos.
Borrowers can use business or personal bank statements to verify income and do not need to submit tax returns.
Loan amounts range from $150,000 to $3 million.
Two years of self-employment is required, and a 40-year fixed interest-only option is available.
North American Savings Bank (NASB) offers a straightforward bank statement loan for self-employed borrowers who can’t provide pay stubs or show net income on their tax returns.
The general requirements for a NASB bank statement loan are:
- 12 months of consecutive bank statements (must be from the same account)
- 15% down payment plus mortgage insurance
- 85% maximum LTV
- A minimum credit score of 680
- 45% maximum DTI (debt-to-income ratio)
- The loan amount range is $170,000 to $1,250,000
- Must escrow for taxes and insurance
- Two years self-employment minimum or 1099 contract work (exceptions can be made for one year of self-employment if prior work is in the same line).
This lender deals in both conventional and non-QM loans and offer three main types of bank statement loans:
- Personal Bank Statement Loan—based upon 12 or 24 months of statements and 100% of deposits are considered income.
- Business Bank Statement Loan—like personal loans, they base these loans on 12 or 24 months of statements but only consider 50% of deposits as income.
- P&L Loan—A Profit and Loss Statement (P&L) is a more detailed overview and accounting of a business’s profitability. This statement is generally prepared by a CA or EA and can be used as the basis for a home loan.
They also offer a variety of funding options for self-employed entrepreneurs and business owners to tailor to their financial needs.
These options include mortgage products like a six-month SOFR ARM (with a fixed rate for six months and then adjusting biannually based on the SOFR index), 5/6 ARMs, 7/6 ARMs, and 10/6 ARMs.
Eligibility requirements include:
- A minimum of two years of being self-employed or a business owner (or just one year if you also have two extra years of experience in the same line of work)
- Three months of PITI (principal, interest, taxes, insurance) reserves in the bank for loan amounts less than $1 million, six months of reserves for loans over $1 million, and twelve months for loans over $1.5 million.
- Credit score minimums are based on the LTV percentage of the bank statement loan down payment you offer. (i.e., if you have 10% down, you need a score of 720. But if you can offer 25% down, your credit score needs to be only 620).
- Loan amounts range from $100,000 to $5,000,000
NorthStar Funding offers clients a 24-month Bank Statement Program based on their business license plus a tax preparer’s letter or corporate paperwork.
They also accept business or personal bank statements but will calculate their qualifying income differently. 100% of deposits are counted for personal accounts, whereas only 50% of business account deposits are considered.
Also available is their “AltQM” program for self-employed or high-net-worth borrowers, which features qualifications based on eligible assets or bank statements.
Asset Qualification For High Net Worth Borrowers
- Minimum FICO score of 680
- Loan amounts of $100K to $3M
- Max cash out is $1.5M
- Income qualifications are based on verified liquid assets
- 15 or 30-year fixed, plus 5/1, 7/1, 10/1 ARMs
- Income and employment are not required to be disclosed (1003)
- Full asset documentation required
- Assets can be banked cash, bonds, stocks, IRAs, 401ks, retirement accounts, or mutual funds
- Asset levels in verified accounts need to be consistent and sustained
Bank Statements For Self-Employed Borrowers
- Minimum FICO score of 680
- Loan amounts of $100K to $3M
- Max cash out is $1.5M
- Bank statements can be with or without asset amortization
- W-2 co-borrower is ok—income and employment traditionally verified
- Personal or business statements
- DTI ratio max is 50%
- If business & personal accounts are combined, a P&L statement is required
- The most recent 12-month period statements are required
- Your assets must be fully documented
- Retirement income is usable with verification
Learn more about bank statement loans.
Truss Financial is comprised of independent mortgage brokers who are real estate investors themselves. They say this feature gives them a personal insight into the challenges a self-employed borrower faces when shopping for a mortgage.
They have dealt with stated-income mortgages for over 20 years—even throughout the historic turbulence of the 2008 crisis.
Truss offers several different loan products, including
- Stated income mortgages
- Jumbo reverse mortgages
- “No Doc” mortgagees
- DSCR loans
- Self-employed mortgages
- Bridge loans and Hard Money loans
- Bank statement mortgages
- Asset depletion mortgages
- Fix and flip loans
Since Truss is a broker, the requirements for the loans will vary. (Brokers can submit loans to a variety of lenders.) For example, the basic minimum requirement for their stated income mortgage is a credit score of 600 with a 90% LTV. The maximum loan amount for Truss is $10 million.
On the other hand, the basic minimums for their Bank Statement Home Loans are 3-24 months of deposit history, expenses calculated at 50% of deposits, 90% LTV, a credit score of 650 or better, and loan amounts to a maximum of $4 million.
Like many other lenders in this category, Valor Lending offers a mix of QM and non-QM mortgages, including bank statement loans, and is licensed in California and Arizona.
Valor’s Bank Statement Loan is designed for self-employed and 1099 employee borrowers to qualify without having to use their tax returns. Many of their programs can be used for both owner-occupied and non-owner-occupied, 1 to 4-unit properties.
Income deposited over a given period, typically 12 or 24 months, is used as a basis for calculations, and the borrower’s DTI should be no higher than 55%.
Located in Newport Beach in sunny CA, Excelerate Capital offers loan programs tailored for self-employed borrowers. Their flagship loan product for this group is the Bank Statement Loan which doesn’t require 4506-Ts or tax returns to calculate eligibility.
Profit and Loss statements (P&L) prepared by a third party, licensed CPAs, are used instead.
Other details include:
- 12 or 24 months of bank statements plus two months of business statements.
- Include three months of statements from a CPA P&L for a possible 24-month bank statement pricing
- Loan amounts up to $5 million
- Calculations based on 50% of deposits, perhaps more
- CPA P&L must show evidence of business expense factors
Founded in 2003, CrossCountry Mortgage is a direct lender with a wide range of conventional mortgage products and government-backed programs like FHA loans.
They’re a sizable company—licensed in all 50 states with over 8,000 employees and over 600 branches. CrossCountry Mortgage is also a Freddie Mac, Fannie Mae, and Ginnie Mae-approved seller and servicer.
CCM also has a few non-QM loan products, including its bank statement program.
Details of the program include
- Loans for up to $3 million
- An LTV limit of 85%
- A DTI limit of 50%
- 24 months of bank statements
- No tax returns are required
- Available for primary residences, secondary homes, and investment properties
- “Non-warrantable condominiums”
- A 30-year fixed rate with no prepayment penalty
For over 65 years, First National Bank of America has remained a private, family-owned company since its modest beginnings in East Lansing, Michigan, in 1955.
They almost exclusively lend in the Non-QM mortgage space as well.
Their non-QM loan programs are tailored towards 1099 and self-employed, ITIN, SSN, and Previous Credit borrowers (and, as they put it, “everyone in between”).
Specifically, FNBA’s Self Employed Mortgage Solutions was created for self-employed and 1099 borrowers—here’s an overview:
- A minimum downpayment of 20%
- Gift funds are allowed
- Alternative income document options include:
- Profit & Loss statements (P&L)
- Business or personal bank statements
- Ready Asset
- Asset Depletion
- Traditional methods; Tax Returns, 1099s, etc.
- Most property types are accepted
- Quick closings available
- Fixed-rate mortgages are also available with 15, 20, or 30-year terms
- Up to 55% DTI allowed
American Financing has been around since 2001 and has grown steadily since then.
Most, if not all, loan products are available via their salaried-based consultants. Furthermore, their bank statement loan program has one of the lowest acceptable credit score levels on this list. And when looking at bank statement loan pros and cons, the ability to finance a home with a lower credit score is high on the “pros” list.
Here’s a quick breakdown of their basic requirements for a bank statement loan.
- Credit scores of 600+
- Year-to-date profit and loss statement (P&L)
- Maximum debt-to-income ratio (DTI) of 50%
- Two years of personal income tax returns
- Employment verification from clients or a CPA
- Two years of tax returns (business), including schedules K-1, 1120, and 1120S
- Bank statements showing you have access to sufficient funds
- Business License
HomeLife Mortgage has several alternative mortgage lending programs available to potential borrowers.
Their specialties include Mortgages for self-employed borrowers, Bank Statement loans, and Investment Property Loans (also called No-Doc Rental Loan programs).
Here’s an overview of their Bank Statement Mortgage Loan program.
- Competitive 30-year fixed rates (buydown also available)
- Flexible loan terms
- Loan amounts are $250,000 to $5 million
- One to two years of personal or business bank statements needed
- As little as 10% down
- Cash-out refinancing for up to 85% of property value available
- Flexibility regarding property types (e.g., condos, 2-4 units, townhomes)
- Interest-only options
- Fast preapproval is possible in as little as 24-48 hours
If you still need clarity on which lender might be the best fit, let us help you out.
Submit your scenario to My Perfect Mortgage and let us match you with the perfect lender. We have the knowledge and business skill necessary to connect you to some of the best mortgage lenders in America.Start your bank statement loan.