Bank Statement LoansSelf-Employed Mortgage on 12 or 24 Months of Statements

A bank statement loan uses your bank deposits instead of tax returns to prove income. You provide 12 or 24 months of personal or business bank statements. Griffin Funding averages your eligible deposits, applies an expense factor of 10% to 50% to business deposits, and uses the result as your monthly qualifying income. Your credit score, down payment, and debt-to-income ratio still count: the minimum credit score is 620, and the maximum DTI is 55%.

Griffin Funding adds up the eligible deposits on 12 or 24 months of bank statements, divides by 12 or 24 to get a monthly average, and applies the expense factor to business deposits. For example, $300,000 in business deposits over 12 months averages $25,000 a month. At a 50% expense factor, that’s $12,500 a month in qualifying income. The expense factor runs from 10% to 50%, based on business type and number of employees or a CPA letter. Transfers between your own accounts and unexplained large deposits don’t count.

Yes. A bank statement loan qualifies you on 12 or 24 months of personal or business bank statements instead of tax returns, W-2s, or pay stubs. You still need a 620 minimum credit score, a down payment of at least 10%, and a debt-to-income ratio of 55% or less. Two other programs also skip tax returns: a P&L loan qualifies you on a CPA-prepared profit and loss statement, and a 1099 loan qualifies you on your 1099 forms.

Yes. Griffin Funding’s bank statement loan covers primary residences, second homes, and investment properties. Second homes need at least 15% down with a 680+ credit score, and investment properties need 15% down with a 700+ score, on loans up to $1.5M. You qualify the same way as on a primary residence: 12 or 24 months of personal or business bank statements, a 620 minimum credit score, and a debt-to-income ratio of 55% or less.

For most self-employed borrowers, yes. Bank statement loans are more expensive than conventional loans because Fannie Mae and Freddie Mac don’t buy them, but the tax savings usually outweigh the higher rate. Bank statement loans don’t require mortgage insurance, even with less than 20% down.

Here’s the trade-off. A California business owner earns $250,000 and writes off $125,000. On a $500,000 loan, a bank statement loan rate 1 percentage point higher costs about $4,145 a year more in payments. Reporting the full $250,000 on a tax return to qualify for a conventional loan would cost about $44,000 a year in federal and California income tax. The write-offs save about 10 times what the higher rate costs.

Griffin Funding charges a flat $1,990 lender fee ($795 processing plus $1,195 underwriting). See today’s bank statement loan rates, each shown with its APR.

Illustration only. Tax figures assume a single filer, 2026 federal and California brackets, the standard deduction, and income tax only, before the QBI deduction. Not tax advice.

A bank statement loan verifies your income with 12 or 24 months of bank statements. A conventional mortgage verifies it with tax returns, W-2s, and pay stubs. That one difference matters most to self-employed borrowers: business write-offs lower the income a conventional lender counts, but they don’t lower your deposits. Bank statement loans are non-QM loans, so Fannie Mae and Freddie Mac don’t buy them, and rates usually run higher.

Yes. Griffin Funding qualifies business owners who own as little as 25% of the business. Your qualifying income is based on your share of the deposits. For example, if you own 50% of a business with $40,000 in average monthly deposits and a 50% expense factor, your qualifying income is $10,000 a month: $40,000 × 50% expense factor × 50% ownership.

Yes. Griffin Funding is a direct-to-consumer bank statement lender licensed in 47 states plus D.C., with $149.6M in bank statement loan volume in 2026 through October 31. Griffin Funding’s AI underwriting platform, LIA, was featured in HousingWire and earned a spot on Inc.’s Best in Business 2025. Here is how Griffin Funding compares with other bank statement lenders.

12 or 24 months of personal or business bank statements. Twelve months works for most borrowers with steady deposits. Twenty-four months can help if your income is seasonal or had a slow stretch, because the average covers a longer period. See how many months of bank statements you need for more detail.

Besides 12 or 24 months of bank statements, you’ll need:

• • A government-issued photo ID
  • Proof of self-employment, such as a business license, CPA letter, or entity formation documents
  • Authorization for a credit check
  • A completed loan application
  • A signed purchase agreement, if you’re buying
  • A short business narrative describing what your business does, where it operates, and how many employees or contractors it has

See the document checklist for the full list.

620. Griffin Funding’s bank statement loan requires a 620 minimum credit score. Higher scores unlock lower down payments: a 680+ score qualifies for 10% down on loans up to $1M, and a 700+ score qualifies for 10% down on loans up to $1.5M. Second homes need a 680+ score and investment properties a 700+ score for 15% down on loans up to $1.5M. Bank statement HELOANs and HELOCs need a 700+ score.

10%. You can put 10% down with a 700+ credit score on loans up to $1.5M, or with a 680+ score on loans up to $1M. Loans up to $3M require 20% down. Loans from $3M to $4.5M require 25% down, which supports purchase prices up to $6M. Second homes need at least 15% down with a 680+ credit score, and investment properties need 15% down with a 700+ score, on loans up to $1.5M. Bank statement loans don’t require mortgage insurance at any down payment. First-time buyers qualify on the same terms.

No. Bank statement loans are for self-employed borrowers: business owners, freelancers, independent contractors, gig workers, and commission-based professionals who are paid outside a W-2. If you’re a W-2 employee, a conventional loan usually costs less. If a single company pays you on a 1099, a 1099 loan is the better fit. If you’re retired or have significant savings and investments, an asset-based loan qualifies you on your liquid assets instead of income. A W-2 co-borrower, such as a spouse, can still be on a bank statement loan, with their wages documented the standard way.

Yes. The standard wait is 48 months (4 years) after a bankruptcy discharge, foreclosure, short sale, or deed-in-lieu. Griffin Funding can lend sooner with a larger down payment: 24 months after the event, purchases need 20% down on loans up to $1.5M, and refinances are limited to 75% LTV. 12 months after the event, purchases need 30% down on loans up to $1M, and refinances aren’t available.

Yes. If you’re paid on 1099s by several clients, you can qualify for a bank statement loan on 12 or 24 months of deposits. If most of your income comes from one or two companies, Griffin Funding’s 1099 loan is usually the better fit: it qualifies you on your 1099 forms instead of bank statements, with loans up to $4.5M.

10% to 50%. Griffin Funding sets the expense factor on business bank statements by business type and number of employees, with no CPA letter required. A service business with no employees uses 15%. A product business with no employees uses 25%. Businesses with more employees use up to 50%, the maximum. A CPA letter can lower the expense factor to as little as 10%. Your business narrative, a short description of what your business does and how many employees or contractors it has, sets which row and column apply.

Example: a consultant with no employees and $20,000 in average monthly business deposits qualifies on $17,000 a month at a 15% expense factor, compared with $10,000 at 50%. With a CPA letter supporting a 10% expense factor, the same consultant qualifies on $18,000 a month.

Griffin Funding’s median bank statement loan closes in 35 days. The fastest in 2026 closed in 6 days. Closing speed depends on how quickly documents come in. The fastest closings come from borrowers who sync their bank statements in one click, have their business narrative and proof of self-employment ready, and answer underwriting questions within a day. Funds usually go out the same day the loan funds or the next business day, once the county records the deed. On primary residence refinances, federal law adds a 3-day waiting period after signing before the loan can fund. Purchases have no waiting period.

Apply for a bank statement loan with Griffin Funding in six steps:

1. Request a free quote. Complete the short online form or call a licensed Griffin Funding loan officer. Share basic details about your business income, credit, and the property you’re buying or refinancing.
2. Sync your bank statements. Connect 12 or 24 months of personal or business bank statements in one click through Griffin Funding’s secure portal, or upload them manually.
3. Complete your application. Your loan officer walks you through the full application. You authorize a credit check and provide proof of self-employment, such as a business license, CPA letter, or entity formation documents, plus a short business narrative.
4. Underwriting. Griffin Funding averages your eligible deposits and applies an expense factor of 10% to 50%, based on your business type and number of employees or a CPA letter, to set your qualifying income.
5. Appraisal and approval. A licensed appraiser confirms the property value. Once your file is fully approved, you receive a formal loan commitment.
6. Close and fund. Sign your closing documents with a mobile notary at your home or office, or with a closing attorney in states that require one. Funds usually go out the same day or the next business day, once the county records the deed.

Yes. Griffin Funding offers two bank statement refinances: a rate-and-term refinance to lower your rate or change your loan term, and a bank statement cash-out refinance up to 80% LTV. To keep your current first mortgage, a bank statement HELOAN or HELOC goes up to 90% CLTV with a 700+ credit score. Use the bank statement loan refinance calculator to estimate your monthly savings.