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Profit & Loss (P&L) Loan

These loans are specifically for self-employed borrowers, allowing them to use their business’s Profit & Loss (P&L) statements to qualify instead of relying on traditional income verification.

Program features

  • P&L reviewed by Licensed CPA, CTEC registered Preparer or IRS Enrolled Tax Agent
  • Loan amounts up to $2.5 million
  • Max cash-in-hand $500,000 for CLTV >65%, $1,000,000 for CLTV ≤65% to ≥55%, no max cash-in-hand limitation for CLTV <55%
  • DTI up to 55%
  • Temporary rate buydowns available

Why choose our Profit & Loss (P&L) Loan?

  • Bank statements not required up to 70% LTV
  • Income support tolerance 25%
  • 1-year business existence may be considered

Program details

  • P&L reviewed by Licensed CPA, CTEC registered Preparer or IRS Enrolled Tax Agent
  • Bank statements not required up to 70% LTV
  • Loan amounts up to $2.5 million
  • Min FICO 660
  • Up to 80% СLTV purchase / cash-out
  • Max cash-in-hand $500,000 for CLTV >65%, $1,000,000 for CLTV ≤65% to ≥55%, no max
  • cash-in-hand limitation for CLTV <55%
  • DTI up to 55% on owner-occupied
  • Min. 3 months of reserves required
  • Primary, second home, investment
  • At least 25% of the business using a pro-rated portion of qualifying income
  • Gift funds are allowed; the borrower must contribute at least 20% of their own funds with a maximum of 80% CLTV. Gift funds are not allowed for CLTV over 80%
  • Mortgage history: 0 x 60 x 12, 0 x 30 x 12, and 0 x 90 x 24
  • 12 months from bankruptcy or foreclosure
  • Eligible property types: SFR, townhomes, condo warrantable/non-warrantable, condotels, 2-4 units, PUD, short-term rentals, SFR rural, leasehold
  • Eligible terms: 40- & 30-year fixed, 5/6 & 7/6 ARM terms
  • 120 months of I/O period, 240/360 months of amortization, qualified at amortized PITIA
  • payment after I/O period, IO product not allowed in IL and NM
  • Eligible citizenship: US citizenship, permanent and non-permanent residents, ITIN
  • Eligible borrowers: Individuals, LLCs/Corp without a hit

P&L FAQ

The P&L mortgage is designed for self-employed borrowers who may not qualify under traditional GSE mortgage guidelines. This program allows us to calculate monthly qualifying income using 1– or 2-year Profit & Loss statements prepared by a CPA or licensed tax preparer.

The P&L Loan is available for:

  • Self-employed individuals or business owners who earn income primarily in cash and may not maintain detailed records.

  • Self-employed borrowers with seasonal or irregular income, including deposits that don’t follow a consistent weekly or monthly pattern.

  • Business owners who have been operating for more than two years.

Ready to get started?

Start the process with us today and let our team guide you through securing the right mortgage for your needs.

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