Bank Statement Loans for California Self Employed Borrowers
Your tax return says you make less than you actually do, and a bank underwriter is about to believe it over you. A bank statement loan qualifies you on what lands in your account, 12 or 24 months of deposits, not your adjusted gross income. We compare that math across 100+ wholesale lenders and bring back the one that gives you the strongest number. Start with a conversation, not an application.
- ✓ NMLS #1277693
- ✓ Licensed in California
- ✓ Direct broker access
What Is a Bank Statement Loan?
You run your own business, your bank account backs it up, and your tax return still doesn't. A bank statement loan looks at what you actually deposit instead of what your accountant wrote off. Lenders review 12 or 24 months of personal or business bank statements, average the deposits, and use that number to qualify you, not your adjusted gross income. Advanced Funding Solutions is a mortgage brokerage that compares bank statement programs across a network of wholesale lenders to find the one that fits your numbers best.
Why Your Tax Return Undersells You
Every legitimate deduction you take to lower your tax bill also lowers the income a conventional lender sees. That works out fine in April and works against you when you apply for a conventional mortgage, because that lender reads your 1040, not your bank balance. A bank statement loan skips that step. It looks at deposits, so the write offs that help you at tax time stop costing you when you buy a house.
How Your Income Gets Calculated
We pull your statements, personal or business, whichever tells the cleaner income story, and average the deposits over the qualifying window. A share of that average counts as usable income; the rest gets treated the way it should be, real business cash flow, not taxable income after deductions. The exact share and the statement period, 12 months or 24, come down to which lender's formula fits your numbers best, which is exactly why we check more than one before you apply.
Bank Statement vs a Conventional Mortgage
A conventional loan reads your tax return and stops there, so if your deductions are aggressive, your approved amount shrinks right along with them. A bank statement loan reads your deposits instead, which is usually the bigger, truer number for a business owner who reinvests or takes legitimate write offs. If your tax returns already show strong income and you qualify conventionally, take the conventional loan. It is almost always the cheaper path, and a bank statement program is solving a documentation problem you don't actually have.
Investment Property and Cash Out
Bank statement qualification isn't limited to the home you live in. It works for a second home and for a 1-4 unit rental, and if buying with rental income sounds simpler, a DSCR loan qualifies the property on its own rent instead. You can also use bank statement documentation on a cash out refinance, pulling equity out of a home you already own to fund a down payment, pay down higher interest debt, or reinvest in your business.
Self employed borrowers whose deposits still don't tell the whole story sometimes qualify faster on an asset depletion loan, which turns savings and investment accounts into qualifying income instead. Not sure which one fits you best? Tell us your scenario and we'll point you at the right program before you fill out an application.
Run the numbers first with our payment calculator, then talk to Advanced Funding Solutions about what you actually qualify for.
A self employed borrower with two or more years of strong deposits should not get disqualified by a tax return full of legitimate write offs. We run bank statement options across 100+ wholesale lenders to find the one that works with your numbers, not against them.
Main Benefits of a Bank Statement Loan
Personal or Business Statements
Most lenders will look at your personal statements, your business statements, or both, whichever tells the cleaner income story. We run your deposits past a few different lenders to see which read of your numbers gets you the strongest qualifying income.
No Tax Returns Required
Your qualifying income comes from what you deposit, not what your tax return says after deductions. If your business write offs are aggressive, this is usually the faster path to a bigger approval and a simpler application.
Loan Amounts That Scale With You
Bank statement programs aren't capped at conforming loan sizes. Strong deposit history and a solid down payment can get you into jumbo territory on the same statements, no separate tax return needed.
Primary, Second Home, or Investment
Bank statement qualification works for the home you live in, a second home, or a 1-4 unit rental property. Investment properties usually ask for a bit more down and a bit more in reserve than an owner occupied home.
We Shop the Math, Not Just the Rate
Two lenders can look at the exact same bank statements and land on two different qualifying incomes. We run your deposits past more than one lender's formula and bring back whichever one works in your favor.
Purchase or Refinance
Buying a home or pulling cash out of one you already own, bank statement qualification works both ways. A cash out refinance can fund a down payment on your next property or pay down higher interest debt.
Bank Statement Loan Terms at Advanced Funding Solutions
Who Bank Statement Loans Work Best For
Contact Advanced Funding Solutions to discuss whether this program may be a fit for your situation. Eligibility, loan amounts, and terms are determined after a complete application and underwriting review.
Get a Quote →- Self employed business owners (LLC, S-Corp, sole prop)
- 1099 contractors, freelancers, and consultants
- Real estate agents and commission based earners
- Small business owners with cash heavy deposit activity
- Professionals with PLLC or PC structures
- Borrowers whose tax returns understate cash flow because of legitimate deductions
How to Get a Bank Statement Loan
Send us your statements
Twelve or 24 months of personal or business bank statements, whichever gives the cleaner picture of what you actually bring in. We'll tell you upfront which one to send.
We find your number
We run your deposits past a few different lenders' formulas and tell you which one gets you the highest qualifying income, before you fill out a single application.
You apply once
One application goes to the lender with the best fit. They pull credit, review your statements, and confirm your rate and terms in writing.
Appraisal and closing
The lender orders the appraisal and clears any remaining conditions. How fast you close depends mostly on how quickly you get documents back to us.
Bank Statement Loan Questions
How does Advanced Funding Solutions work with bank statement borrowers?
How much does a bank statement loan cost?
How many months of bank statements do I need?
Can I use a bank statement loan for an investment property?
What credit score do I need?
What's the down payment?
How long does closing take?
Is a bank statement loan available at a jumbo loan size?
Can I get a bank statement loan in California?
Can I still qualify with a lower credit score?
Can bank statement financing work for new construction?
Do you work with clients outside your Calabasas office?
Related Loan Options
Our Approach
Here is what actually happens after you tell us what you are buying.
One application, more than 100 lenders
You fill out one form. We take it to the lenders whose guidelines actually fit your situation and bring back what each of them said. You are not starting over at every door.
You see the options side by side
When more than one loan could work for you, we show you both and explain the trade-off in plain language. Conventional against jumbo, bank statements against tax returns. You pick, not us.
Everything in writing before you commit
Your rate, fee and loan disclosures come to you in writing during the application, because state and federal law requires it. Anything we discuss before that is an estimate and we will tell you so.
Subject to approval
All loans are subject to credit, income, asset, property, and underwriting approval. A pre-qualification is not a commitment to lend, and your final terms are set after a complete application and lender review.
Program Disclosures
Advanced Funding Solutions is a mortgage brokerage (NMLS #1277693). Loan programs described on this page are offered through a network of wholesale lenders. Program availability, loan amounts, interest rates, points, fees, and underwriting guidelines are set by each funding lender and may change without notice. Not all borrowers will qualify for every program.
Any rates, costs, or timelines referenced on this page are illustrative only and are not a quote, rate lock, or commitment to lend. Actual rates and costs depend on the loan program, lender, credit profile, property type, occupancy, loan-to-value, and other factors, and are disclosed in writing during the formal application process as required by state and federal law.
All loans are subject to credit, income, asset, property, and underwriting approval. Pre-qualification is not a commitment to lend. State availability of specific programs varies; contact Advanced Funding Solutions to confirm whether a program is offered in your state. Equal Housing Opportunity.
Have a question about your bank statement scenario?
Tell us how you get paid and what you're buying, and we'll tell you which lenders will say yes before you apply anywhere. Use our payment calculator to see where your numbers land first. Advanced Funding Solutions, NMLS #1277693.