Bank Statement Loans in Colorado
For self-employed professionals, business owners, and gig workers, proving your income can feel like an uphill battle when you’re trying to get a mortgage. Bank statement mortgage loans in Colorado are non-QM loans that use your bank statements to verify what really matters to lenders: your actual income. Whether you’re a freelance designer, run your own food truck, or consult for multiple clients, bank statement loans can provide you with a path to homeownership.
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Areas We Serve
Whether you’re looking for a bank statement loan in Denver or Aurora, we can help. We serve borrowers across the state of Colorado, including the following areas:
- Denver
- Colorado Springs
- Aurora
- Fort Collins
- Lakewood
- Thornton
- Arvada
- Westminster
- Pueblo
- Centennial
- Boulder
We encourage anyone interested in a personal or business bank statement loan to reach out so that we can help you secure a home loan that’s right for your circumstances.
What Are Bank Statement Loans?
A bank statement mortgage loan is a type of self-employed mortgage that allows lenders to verify your income using your bank statements instead of tax returns, W-2s, or pay stubs.
Many business owners and self-employed professionals benefit from being able to use bank statement loans because bank statements often offer a more accurate depiction of their finances whereas their tax information only shows net income. In turn, this makes getting a mortgage more accessible to these types of borrowers.
Think you qualify for a loan? Contact us today to find out!
Contact UsHow Do Bank Statement Loans Work in Colorado?
The lending process for bank statement mortgage loans in Colorado is similar to other states in that it starts with an initial discovery meeting where our team assesses your eligibility based on your bank statements, credit score, and other aspects of your finances.
We can complete your loan application with you over the phone to ensure accuracy or online for your convenience. We’ll strive to get you the most competitive interest rate, which you can then lock in. Once underwriting, inspections, and loan finalization are all complete, we’ll release your funding so you can purchase your home.
Already own your home? Consider a bank statement home equity loan or home equity line of credit (HELOC). These options let you tap into your home’s equity using bank statements to verify your income. You can also apply for a self-employed refinance to lower your monthly payments, get a better interest rate, or take cash out of your home, again using bank statements to verify your income.
If you’re ready to secure your mortgage, get started with Griffin Funding today. Our team of experts specializes in self-employed loans and can help you find the best rate and guide you through each step of the process.
Colorado Bank Statement Loan Example
Let’s get a closer look at how bank statement loans in Colorado work with a real-world example:
Mitch ran a gas station for more than five years, but because inventory is difficult to track, getting a loan based on financial statements wasn’t an option. Mitch wanted to provide a home for his growing family and was relieved to find Griffin Funding’s bank statement loans in Denver.
Griffin Funding took two years of Mitch’s bank statements and was able to count 100 percent of deposits as income. With this great new option for a desirable Colorado home loan, Mitch bought a new home just in time for the new addition to the family.
Types of Bank Statement Loans Available in Colorado
We currently offer two loan options for self-employed borrowers:
- Personal Bank Statements: Qualify with 12 or 24 months of bank statements. We count 100 percent of deposits as income.
- Business Bank Statements: Qualify with 12 or 24 months of bank statements. We count 50 percent of the deposits as income.
In Colorado, a 12-month bank statement loan allows borrowers to qualify with just 12 months of bank statements—and most importantly, without tax returns. A bank statement loan in Colorado can be used for your main residence as well as investment properties and second homes.
If a bank statement mortgage loan in Colorado doesn’t sound like the right mortgage program for you, we have a variety of other options, including:
- Asset-based loans: If you have significant savings or investments, you might consider asset-based loans. These loans allow you to use your liquid assets as proof of income. Lenders look at easily convertible assets like savings accounts and investments to determine how much you can borrow, making this home loan option perfect for retirees or investors with substantial portfolios but lower regular income.
- DSCR loans: If you’re considering purchasing an investment property, DSCR loans let you qualify based on the rental income potential of the property instead of your personal financial situation. Lenders will look at whether the expected rental income can cover the mortgage payments, which could be a smart choice for investors looking to expand their portfolios.
- VA loans: These are special loans backed by the Department of Veterans Affairs (VA) and designed for those who have served our country and their eligible spouses. VA loans come with perks like competitive mortgage rates, 0% down payment, and no private mortgage insurance (PMI) required, making homeownership more accessible for those who qualify.
Business owners may also qualify for a P&L loan, which uses your profit and loss statements instead of bank statements to verify income. To qualify, you’ll need to provide recent profit and loss statements prepared by a CPA or qualified tax preparer.
What Are the Advantages of Bank Statement Loans in Colorado?
One of the greatest benefits of bank statement loans for self-employed professionals and business owners in Colorado is that it gives them the opportunity to more accurately demonstrate their income.
Here are some of the main advantages to consider for Colorado bank statement loans:
- You can qualify with 12 or 24 months’ worth of bank statements that show you make regular deposits.
- You can secure a bank statement loan with as little as 10% down.
- Credit scores as low as 620 are accepted.
- You can use a bank statement loan to purchase a home or for a cash-out refinance of up to 85% of the property value.
- You can borrow up to $20 million.
- Bank statement mortgages are available as fixed- or adjustable-rate loans.
To find out if a bank statement loan is the right mortgage solution for you, speak with one of our loan specialists today, or use our bank statement loan calculator to see how large of a loan you might qualify for based on your monthly income.
Who Qualifies for a Bank Statement Loan in Colorado?
These loans are specifically designed for self-employed individuals, business owners, and retirees in mind to provide a more flexible option that allows them to secure funding when they otherwise wouldn’t be able to with a traditional loan. While bank statement mortgage lenders in Colorado set their own requirements, so they will vary, here’s what you need to qualify with Griffin Funding:
- Must be self-employed or a business owner for at least 2 years (or 1 year with 2 years of experience in the same field)
- Ability to show regular income through 12 or 24 months of bank statements
- Minimum credit score of 620
- Ability to make down payment based on credit score:
- 10% down with a 720+ credit score
- 15% down with a 680+ credit score
- 20% down with a 660+ credit score
- 30% down with a 620+ credit score
- Must provide 12-24 months of bank statements
- 3-6 months of cash reserves to cover mortgage payments (PITI) for loans under $1.5 million or 12 months of reserves for loans over $3 million
- Debt-to-income (DTI) ratio below 55%
Wondering if you qualify for a bank statement loan in Colorado? Download the Griffin Gold app to learn about your loan options, track your application, upload documents, and communicate with your loan officer all in one place.
Think you qualify for a loan? Contact us today to find out!
See if you QualifyApply for a Colorado Bank Statement Loan Today
Griffin Funding is your premier bank statement mortgage lender in Colorado that specializes in bank statement loans as well as other self-employed loan programs. We are happy to help walk you through the loan application process and find the most suitable rate based on your financial situation. For more information about securing a bank statement loan in Colorado, please call our team of experts at 855-698-1098 or reach out online to get the process started.
Frequently Asked Questions
It is possible to get both personal loans and business loans with bank statements and we currently offer both types of bank statement mortgages in Colorado. When applying for a personal bank statement loan, your credit score, outstanding debts, and other factors can also impact your eligibility, but the main factor of eligibility will be your bank statements. These bank statements should show you make regular deposits and maintain a balance that proves you can handle monthly mortgage payments.
Colorado bank statement mortgage loans are ideal for people who have strong incomes but don’t fit the traditional lending mold. You might be a perfect candidate if you’re:
- A freelancer juggling multiple clients and projects
- A small business owner who takes advantage of tax deductions
- A gig worker with steady income from various platforms
- A contractor who gets paid by the project
- An entrepreneur with a growing business
- A retiree living off investment income
- A commission-based sales professional
- Someone transitioning from W-2 employment to self-employment with experience in your field
Your minimum down payment for a bank statement loan in Colorado depends on your credit score. Here’s the breakdown:
- With a 720+ credit score, you can put down as little as 10%
- With a 680+ credit score, you’ll need at least 15% down
- With a 660+ credit score, plan for 20% down
- With a 620+ credit score, you’ll need 30% down