Self-employment history
Two years is the normal benchmark, but it is not an absolute rule that the business must be two years old.
Fannie
Fannie generally looks for a two-year history of prior earnings. A borrower with less than two years of self-employment may still be considered when the most recent personal and business returns reflect a full 12 months of self-employed income and prior income history supports experience in the same or similar field.
Freddie
Freddie likewise permits consideration with less than two years of self-employment when the lender documents stability. Freddie requires a combined two-year history of income from current self-employment and prior work in the same or similar occupation/industry, and the tax returns must reflect at least one year of self-employment income.
Official guide baseline
Fannie Mae Selling Guide · Freddie Mac Seller/Servicer Guide
Agency guide and AUS findings control. Tax-return, business-analysis and lender-overlay requirements can change the usable income.