Alex Carlucci The Mortgage Expert,
Publish On: December 4, 2022
Chicago mortgage loans for self-employed individuals. Many folks in the Chicago Area are business owners and self-employed. If you are one of the many self-employed borrowers who had difficulty qualifying for a mortgage loan over the years, you are in luck. The great news is Gustan Cho Associates now offers bank statement loans and Non-QM loans for self-employed borrowers.
There is no private mortgage insurance required. Non-QM loans have no maximum loan limits. This blog will discuss the basics of our bank statement mortgage program for self-employed borrowers.
What’s The Scoop on Mortgages For Self-Employed Borrowers?
Mortgage loans for self-employed individuals used to be challenging until now. Gustan Cho Associates now have home mortgages for self-employed borrowers. NON-QM Loans and Bank Statement Mortgage Loans are designed for Chicago Mortgage Loans For Self-Employed Individuals. No tax returns are required on non-QM loans.
Most self-employed individuals write off as much as possible to minimize paying taxes. Writing off business expenses and utilizing as many deductions as possible is one of the many advantages of being self-employed. This is because you get away with paying a lot of taxes. Chicago mortgage loans for self-employed individuals now do not require tax returns; we can just go off 12 months’ bank statements.
Financing For Self-Employed Individuals With Bank Statement Loans
Income for Chicago Mortgage Loans For Self-Employed Individuals is calculated with deposits. A lender will go off what the self-employed worker has filed for income on their tax returns. Lenders require two years of tax returns and will average the two years’ income from the tax returns. If the latter year’s income is greater than the previous year, the two income off the tax returns is averaged.
If the latter year’s income is less than the previous year’s income on the tax return, the lender will use the lesser income amount. However, with our new Chicago Mortgage Loans For Self-Employed Individuals, only deposits from bank statements qualify for income. Deductions from tax returns do not matter. Income tax returns are not required with bank statement loans for self-employed borrowers.
Lenders Specializing In Mortgage Loans For Self-Employed
Business owners and self-employed individuals who own businesses looking to purchase a home and are seeking a Chicago mortgage loan, please contact us to get qualified. Gustan Cho Associates are experts in mortgage loans for self-employed individuals. The team at Gustan Cho Associates specializes in Chicago mortgage loans for self-employed individuals. No Tax Returns are Required on non-QM loans.
Tax returns are interpreted differently by each mortgage lender. Some lenders will add depreciation from Schedule C back to income. Some lenders will consider rental income as part of your income. Others will only take 75% of your rental income as additional income. Now with our Chicago Mortgage Loans For Self-Employed Individuals, deductions or tax returns will no longer matter.
Qualifying For Mortgage For Self-Employed Individuals
For those self-employed folks who started a new business and had a stellar recent year, the previous year was not such a hot one. Look no further. We can help. We offer multiple mortgage loan programs for self-employed borrowers. Here is how the loan program generally works:
- On the bank statement loan program, we take an average of 12 months of deposits from bank statements
- The average monthly deposit is used as the qualified income
- Withdrawals do not count
- For a self-employed individual with sizeable assets, we have another program where we take 4% of the liquid assets as income.
- For example, if a self-employed individual has $500,000 worth of cash and stocks, we can use 4% of the $500,000, or $20,000, as additional income.
- This is called the asset depletion mortgage program
- Gustan Cho Associates offers different types of asset depletion loan programs for wealthy individuals who do not have a steady income base
Best Chicago Mortgage Lenders For Self-Employed Individuals
The team at Gustan Cho Associates specializes in Chicago mortgage loans for self-employed individuals. If you have any questions, please contact us at Gustan Cho Associates at 800-900-8569 or text us for a faster response. Or email us at gcho@gustancho.com, or you can visit us at www.gustancho.com.
Gustan Cho Associates is available seven days a week, evenings, weekends, and holidays. The team at Gustan Cho Associates is available seven days a week, evenings, weekends, and holidays. Gustan Cho Associates is a mortgage company licensed in multiple states with no lender overlays on government and conventional loans. We also have dozens of lending relationships with non-QM wholesale lenders.
