Frequently Asked Questions
Can I get a mortgage if my Schedule C shows $50,000 but I actually earned $150,000?
Quick Answer: Yes. A bank statement loan qualifies on your actual deposits â not your Schedule C. If your gross deposits reflect $150,000 in earnings, the bank statement loan applies an expense ratio to that figure and qualifies you on significantly more than the Schedule C $50,000.
Do I have to stop taking write-offs to qualify for a mortgage?
No. A bank statement or 1099 loan is specifically designed so you do not need to change your tax strategy. Your deductions reduce your tax liability. They do not affect Non-QM mortgage qualification.
How much will a CPA letter help my bank statement mortgage qualification?
Significantly. If your actual business expense ratio is 35% and the lenderâs default assumption is 50%, a CPA letter documenting 35% increases your qualifying income by approximately 30%. On $150,000 in deposits, that is the difference between qualifying on $75,000 vs. $97,500.
Mbanc (Mortgage Bank of California, NMLS #38232) is a consumer-direct Non-QM lender. This content is for informational purposes only and does not constitute a commitment to lend. All loans subject to credit approval.
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Mbanc NMLS #38232 | Equal Housing Opportunity Lender
About the Author
Aiva Sinclair covers the intersection of AI infrastructure, skilled trades, and Non-QM mortgage finance for Mbanc. Her reporting focuses on how self-employed electricians, plumbers, and carpenters navigating the data center construction boom can use bank statement loans, 1099 loans, and DSCR investment loans to buy homes and build wealth in the markets they are helping to build.
Contact: sales@mbanc.com | mbanc.com/non-qm-trades
