Skip to main content

Borrowers can face strict guidelines for income and documentation to qualify for a self employed mortgage including pay stubs and tax returns. Self-employed borrowers often find that they don’t qualify for a traditional mortgage because they don’t have the required documentation, or their tax return doesn’t accurately represent their income.

At Newfi, we know that being self-employed takes a lot of work, but getting a mortgage doesn’t have to! With our self-employed home loans, we help independent workers of all types get into their dream homes.

Newfi’s Simple Solutions for Self Employed Borrowers

Our mortgage program for self-employed people helps borrowers qualify for a purchase, refinance, or cash-out refinance without the traditional 2-years of tax returns. Instead, we’re able to prove your income and can qualify you based on how you earn your income. These unique mortgage solutions are designed for small business owners, contract workers, or anyone working a side hustle.

Benefits for a Self-Employed Loan with Newfi:

Flexible Income Requirements

Because every self-employed borrower handles their finances differently, we offer a variety of flexible income requirements.

12- or 24- Months of Personal or Business Bank Statements

The most common way to document income among self-employed borrowers is by using bank statements. At Newfi we can use the last 1 or 2 years of your bank statements and analyze them for qualified deposits. These can be your personal or business bank statements. By using bank-statements we can calculate your annual income and not rely on your tax return to show how much income you generated over the time period.

1099 or Contract Work

When you work for Uber or are a contract worker you may receive a 1099 to document your income. At Newfi you can use your 1099 documentation to prove the income of your business. We take your 1 or 2 years of 1099 income documentation and apply a 10% reduction for business expenses, then qualify you based on the remaining 90% of your income.

CPA Letter to Document Income

Self-employed borrowers who own 100% of their businesses and have filed a tax return with a licensed CPA or equivalent can qualify based on their gross receipts. Reach out to your loan officer to learn more about this option.

Combined Income for Multiple Sources

Do you have multiple jobs or forms of income in your household? Combine bank statements, 1099’s and W-2’s from multiple jobs both individually and within a household to qualify. That way you can use as much income as possible to maximize what you can qualify for.

Documentation Based on Your Unique Situation

We ask for the documents you can provide us! This means that if your tax returns don’t document your income accurately, then we will skip asking for tax returns and instead request your business/personal bank statements or other types of income documentation. You’ll also need to provide your self-employment history and, if you co-own a business, how much of that business you own.

Qualify With Up To 2 Years of Self-Employment History

We typically require 2 years of employment history to qualify for your purchase, refinance, or cash-out transaction. At Newfi, we do our underwriting in-house which means we can make common sense exceptions for some of our borrowers. If you have less than 2 years of self-employment history, we’re able to look at your previous work experience in a similar field and qualify you based on that experience.

Financing Your Dream Home With Newfi

Questions about qualifying for a mortgage with your self-employed income? Interested in your unique mortgage options? Get a quote or talk to one of our senior loan advisors today at

Wondering if we’re up to the test? Read any of our 1,300+ reviews and see what our past clients have to say!

Close Menu