1099 earners and independent contractors in California can qualify with a 1099 loan (income taken from your 1099s with an expense factor) or a bank-statement loan. No W-2s required, and often just one to two years of 1099 history.
How a 1099 mortgage works
Instead of W-2s and full returns, the lender uses your 1099s and applies an expense factor to estimate qualifying income. It's built for gig workers, contractors, consultants, and commission earners.
1099 loan vs bank-statement loan
If most income arrives on 1099s, a 1099 program is simplest. If you invoice and deposit variably, a bank-statement loan may count more. We compare both. See also how to calculate 1099 income.
What you'll need
Typically 1–2 years of 1099s, a mid-600s+ score, roughly 10–20% down, and proof you've been in the same line of work. No tax returns required on most 1099 programs.
Frequently asked questions
Can I get a mortgage as a 1099 contractor?
Yes. 1099 and bank-statement programs qualify contractors without W-2s. Many accept one to two years of 1099 history.
Do 1099 loans require tax returns?
Most don't — they use your 1099s directly with an expense factor. That's the point of the program.
How is 1099 income calculated for a mortgage?
Lenders take your gross 1099 income and apply an expense factor (or a stated percentage) to arrive at qualifying income.