Mortgage Navigator • Non-QM / Non-Conforming

Bank Statement Loans

For some self-employed borrowers, deposits can tell a more useful cash-flow story than taxable income.

How the concept works

Private investors may analyze a defined period of personal or business bank statements and apply their own treatment for eligible deposits, transfers, business expenses and expense factors to derive qualifying income.

Not one standard formula

Statement period, business ownership, expense factor, eligible deposits, NSFs/overdrafts, commingling and documentation requirements vary by program. Never assume one lender’s calculation applies everywhere.

Product-specific guidelines matter. Non-QM and non-conforming products are private-investor programs. Documentation, credit, LTV, reserves, property, prepayment terms where legally permitted, and other requirements vary by investor, lender, occupancy and loan purpose. Examples here are educational—not universal eligibility promises.

Consumer-protection references

CFPB Ability-to-Repay / Qualified Mortgage Rule · CFPB: What is a Qualified Mortgage?