top of page
Key Highlights
The Benefits
Income beyond tax returns
Qualify using 1099 income documentation.
Room for higher qualification
May increase your borrowing potential.
Flexible credit requirements
Options available for a range of credit profiles.
What's Required
More money down
Larger down payments are often required.
Reserves required
Cash reserves may be needed after closing.
A thorough review
A more detailed underwriting review.
The Ins & Outs
How it Works
A 1099 mortgage loan is designed for self-employed professionals, independent contractors, freelancers, consultants, and other borrowers who receive 1099 income.
EHG Mortgage's 1099 loan programs allow eligible borrowers to qualify using alternative income documentation instead of traditional tax return requirements. For many borrowers, recent 1099 forms and year-to-date income may be used to demonstrate qualifying income through a Non-QM mortgage.
These programs are available for primary residences, second homes, and investment properties, including loan amounts above conventional conforming limits.
Example Scenario
A borrower earns $220,000 on 1099s but reports only $95,000 in taxable income after deductions. Depending on the program, a 1099 loan may allow eligible income documentation to support a higher qualifying income.
What is a 1099 loan?
A 1099 loan is a Non-QM mortgage designed for eligible self-employed borrowers who receive 1099 income. It offers alternative ways to document income while still verifying your ability to repay.
Are 1099 loans safe?
Yes. Like other mortgage programs, 1099 loans require lenders to verify your ability to repay. They simply offer more flexible income documentation than traditional mortgages.
Are 1099 loan interest rates higher?
Yes. Many borrowers refinance into a conventional loan once they qualify under traditional lending guidelines or their financial situation changes.
Can I refinance a 1099 loan later?
Yes. Many borrowers refinance into a conventional loan once they qualify under traditional lending guidelines or their financial situation changes.
How much can I borrow?
Many 1099 loan programs offer loan amounts above conventional loan limits. The maximum loan amount depends on the lender, property type, and your overall financial profile.
bottom of page