Personal Bank Statement Mortgage
Personal Bank Statement Mortgages
You’re a sole proprietor, freelancer, or single-member LLC. Your business income lands straight in your personal account. Total Quality Lending’s personal bank statement mortgage qualifies you on those exact deposits — no expense ratio, no CPA letter, no tax returns.
Personal bank statement loan advantages
- 12 or 24 months of personal statements + 2 months of business
- Simple income calc: total deposits ÷ # of statements
- No expense ratio applied — easier than business path
- Up to 90% LTV on primary residence
- Loans from $150K to $4M
- Ideal for sole proprietors, freelancers, and single-member LLCs
How the personal path works
- 1
Pull 12 or 24 months of personal statements
From the personal checking or savings account where your business deposits land. Underwriting needs every page of every month — gaps require explanation.
- 2
Add 2 months of business statements
Underwriting reviews these only to confirm two things: (1) the business is actually operating, and (2) money moves from the business account to the personal account where you'll claim deposits.
- 3
Income = deposits ÷ statement count
Total eligible personal-account deposits ÷ 12 (or ÷ 24) = your qualifying monthly income. No fixed expense ratio applied, no CPA letter required. Underwriting strips out transfers between your own accounts, large one-time deposits without source, and obvious non-business inflows.
Program details
Personal bank statement loans share the same Std/Bank Stmt/1099 LTV matrix as the business path, 12-month, 24-month, and 1099 paths under Total Quality Lending’s Prime Time program.
At 720+ FICO with a primary-residence loan ≤$1.5M, max LTV is 90% purchase, 85% rate/term, 80% cash-out. Loans tier down progressively above $1.5M. For the full FICO × loan-amount LTV table, see Prime Time loans.
Reserves: 3 months PITIA at ≤80% LTV, 6 months at 80.01–85%, 12 months above 85%. Loans >$1.5M require 9 months; loans >$2.5M require 12 months. DTI caps at 50% (55% on primary residence at ≤80% LTV with $3,500/mo residual income).
State overlays apply to CT, FL, IL, NJ, and NY: 85% purchase / 80% refinance, $2M loan-amount cap.
Personal bank statement mortgage — FAQs
What is a personal bank statement mortgage?
A personal bank statement mortgage is a non-QM loan that qualifies self-employed borrowers using deposits from 12 or 24 months of personal bank statements plus 2 months of business statements. Total Quality Lending offers this under the Prime Time program — no tax returns required.
Who is the personal bank statement path designed for?
Sole proprietors, single-member LLCs, freelancers, and 1099 contractors whose business income deposits directly into a personal checking or savings account. If you don't run a separate business bank account — or your business account is mostly empty because everything sweeps to personal — this is your path.
Why do I need 2 months of business statements?
Underwriting needs to confirm your business actually operates and that money flows from the business to the personal account. Two months is enough to verify activity + transfers. The business statements are NOT used for income calculation on the personal path — only for verification.
What if my business account barely has anything in it?
That's fine on the personal path. Underwriting just needs to see that the account exists, that the business is operating, and that transfers are reaching the personal account where deposits are being counted. A sweep-everything-to-personal pattern is acceptable.
What credit score do I need?
620 minimum. Top tier unlocks at 720+. Interest-only is permitted at 660+ FICO up to 90% LTV.
Can I do this on a second home or investment property?
Yes. Personal bank statement loans are eligible on primary residence, second home, and investment occupancies under Prime Time. Investment property max LTV at 720 FICO with a loan ≤$2M is 85% purchase, 80% rate/term, 75% cash-out.
Personal path vs business path — which is better?
If your income lands in a personal account, the personal path is simpler (no expense ratio, no CPA). If your income stays in a business account, the business path avoids transfer noise and lets you choose between three income-calc methods. Either path can hit up to 90% LTV.