What Are Connecticut Bank Statement Loans?
CT bank statement loans are a way for borrowers to buy a home without showing their tax returns. Instead, borrowers will just have to show their past 12-24 bank statement deposits and lenders will use that to determine whether or not they qualify for the home loan.
The purpose of bank statement loans in Connecticut is to allow more people to be able to purchase a home, even if they don’t have the traditional documents that are usually needed for a loan. Just because you’re self-employed doesn’t mean you shouldn’t be able to buy a home, and a bank statement loan makes buying a home possible.
What Areas Are CT Bank Statement Loans Available in?
CT bank statement loans are available in various cities throughout the state, so everyone can have an opportunity to access the loan, regardless of where they live. The areas where you can find bank statements loans in Connecticut include:
- New Haven
Why Should You Consider a Bank Statement Loan in Connecticut?
You should consider a bank statement mortgage loan in Connecticut if you’re self-employed, a contractor, a freelancer, an entrepreneur, a small business owner, or a retiree. In all of these situations, you will most likely not get a tax return, which can make buying a home more difficult—unless you use a bank statement loan. To qualify for a bank statement loan, you just need to show your previous bank statements as proof of income.
Fortunately, you can access a myriad of self-employed mortgage products with Griffin Funding, which will help you qualify for a home loan that you’re comfortable with.
What Are the Bank Statement Loan Requirements in Connecticut?
There are several bank statement loan requirements in Connecticut that you need to meet in order to qualify for a bank statement loan. Some of these requirements include:
- Proof of income: You need to show proof of income, which can either be a 12- or 24-month bank statement.
- Good credit score: The minimum credit score required for a bank statement loan in Connecticut varies depending on the lender, but most lenders will look for a credit score around 620.
- Down payment: You must meet the minimum down payment required to qualify for the loan, which will likely be between 10-20% down.
- Self-employed: To qualify for bank statement loans in Connecticut, you must either be self-employed or a 1099 borrower for at least 2 years.
- P&L statement: Some lenders may require you to show a P&L statement, which summarizes your revenues, costs, and expenses incurred during a specific period of time.
- Assets: Your assets can include your retirement plan or your savings, and they must be fully verified.
How Much Do You Have to Put Down on a Bank Statement Loan?
The amount you have to put down on a bank statement loan will vary depending on your individual mortgage lender. The minimum amount is 10%, but some lenders will require 20% or even 25%. Lenders are taking a big risk by using your bank statement deposits to verify your income, so making a bigger down-payment indicates that you’re a reliable borrower.
Fortunately, at Griffin Funding, our mortgage lenders are willing to work with you to figure out a down payment amount that you’re comfortable with, so you don’t have to put down more than you can afford.
Other Non-QM Loans
At Griffin Funding, we offer a variety of other Non-QM loans in addition to bank statement loans. Some of the other types of Non-QM loans that we offer include:
- Jumbo Loans with 10% Down
- Asset-Based Loans
- Interest Only Loans
- DSCR No Income Mortgage Loans
- Foreign National Loans
- Recent Credit Event Loans
You can talk with one of our mortgage lenders to figure out which type of Non-QM loan would be the best option for your circumstances.
How to Apply for a CT Bank Statement Loan
To apply for a CT bank statement loan, you can go onto the Griffin Funding website and complete an application. You first have to upload at least 12 months of bank statements into our system, or you can sync your bank account with our digital mortgage software and we’ll get the information for you. Once we have proof of your bank statements that show regular deposits, your application will then go through a manual underwriting process.
The amount of time it will take for your application to get approved depends on the complexity of the case. In most cases, it will take around 21-30 days to process, but it can take up to 60 days for more complicated cases.
Find out if You Qualify for a CT Bank Statement Loan
After reading this, you may think that a bank statement loan is the best option for you to acquire your dream home. But first, you need to figure out if you qualify. You can find out if you qualify for a CT bank statement loan with Griffin Funding.
Our mortgage lenders will help figure out if you’re a good candidate for a CT bank statement loan, depending on your employment status, credit score, and down payment. If you do qualify for a CT bank statement loan, you can then apply for the loan right on the Griffin Funding website. And if you get approved, you can get started with your home buying journey in as little as a few weeks’ time.