Self-Employed Mortgage Qualifier
Estimate your mortgage qualification odds, maximum purchase price, and recommended loan products—tailored for self-employed borrowers.
Let's Assess Your Qualification
Average of last 2 years (gross income minus business expenses)
Most lenders want minimum 2 years; newer businesses can still qualify with right program
20% = conventional rates; 10-15% = slightly higher rates; less options below 10%
750+ = best rates; 700-749 = good rates; below 700 = limited options
Important Note
This is an estimate. Actual qualification depends on credit history, debt-to-income ratio, employment history, savings, and lender-specific criteria.
Common Questions About Self-Employed Mortgages
Why is it harder to get a mortgage as self-employed?
Lenders view self-employed income as riskier because it's variable. Banks want stable, verifiable income. We work with lenders who understand self-employed income and accept bank statements, accountant letters, and financial statements.
How many years in business do I need?
Most traditional lenders want 2+ years. However, bank statement loans, startup programs, and some portfolio lenders will work with 1-2 years if you show growth. Younger businesses typically need stronger down payments and reserves.
Can I qualify with less than 2 years?
Yes, but it's harder. Options: (1) Portfolio lenders, (2) Bank statement loans, (3) Strong co-signer with W2 income, (4) Larger down payment (20%+), (5) Wait until you hit 2-year mark.
What if I take losses some years?
Losses are harder for traditional lenders. Solution: Average income over 2 years (includes profitable years), highlight growth trajectory, show recent profitability. Bank statement loans often work better for variable income.
Does my business structure matter?
Yes. S-Corp with W2 salary is easiest; Schedule C (sole proprietor) requires more documentation; LLC/Partnership varies by state/lender. We'll advise on best strategy for your structure.
How important is a business accountant letter?
Very important. An accountant letter stating your income is likely to continue and explaining your business is worth its weight in gold for self-employed borrowers. Recommended even if not required.
Let's Talk About Your Situation
This calculator is a starting point. Every self-employed borrower is unique. Schedule a free consultation to explore loan options tailored to your business.
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