The Challenge: Strong Income, Wrong Documentation
For more than thirteen years, one man built a steady living as a self-employed delivery driver, running three separate 1099 routes. He wasn’t worried about affording a home, because his income comfortably supported the payment he had in mind.
The problem was documentation. Without a W-2, and with business expenses reducing his taxable net income, traditional underwriting worked against him, and he didn’t qualify.
As a result, he was stuck renting for years in order to live centrally to his delivery routes.
His credit union confirmed the concern and ultimately said no.
The Turning Point: A Realtor Referral and a Different Conversation
Fortunately, his realtor knew to refer him to us when he said he could afford the payments but not qualify.
The Strategy: Using Loans for Self-Employed Borrowers
Instead of assessing him by conventional loan standards that didn’t fit, we specilize loan options for self-employed borrowers designed for these kinds of scenario, and there is more than one approach.
In his case, a Non-QM bank statement loan allowed his deposits into his business checking rather than paystubs or W-2s to document his income, and his cash-flow was more than enough to qualify.
Why This Worked When Traditional Options Didn’t
Traditional loans are built around salaried income. Self-employed borrowers often need underwriting that recognizes how businesses actually operate.
Because this loan focused on cash flow, not tax strategy, it aligned with his reality. That alignment made the difference between renting indefinitely and owning with confidence.
The Outcome: A Home That Fits His Life and His Work
With the right structure in place, he purchased a home that complemented both his lifestyle and delivery routes.
Location mattered, and now his home supports his work instead of complicating it.
After years of hustle and renting, he finally owned a place that made sense financially and practically.
The barrier was never affordability—it was finding the right loan.
What This Case Demonstrates
This story shows that self-employed income does not disqualify capable buyers. With the right loan type, cash flow can open doors traditional underwriting closes.
Need help qualifying for a Non-QM loans that allows self-employed people an alternative ways to qualify? Contact us to speak to an expert self-employed, Non-QM loan specialist.