Get Expert Investment Financing
- Matched with investor-friendly lenders
- Fast pre-approvals-no W2s required
- Financing options fro rentals, BRRRR, STRs
- Scale your portfolio with confidence
Self-employed real estate investors often face an uphill battle when applying for traditional mortgages. Even with healthy business income, tax write-offs and inconsistent earnings can sabotage loan approvals. Fortunately, bank statement loans offer a flexible, low-documentation alternative—especially for borrowers who don’t fit neatly into the W-2 box.
In this guide, we’ll spotlight the best bank statement loan lenders for 2025, what sets them apart, and how to determine if this option fits your investment strategy.
What Is a Bank Statement Loan?
Bank statement loans allow borrowers—especially self-employed individuals, freelancers, or entrepreneurs—to qualify for mortgages using 12 to 24 months of bank deposits instead of W-2s or tax returns.
Unlike traditional mortgages that verify income through IRS documents, these loans rely on your actual cash flow, making them ideal for:
- Real estate investors
- Small business owners
- Gig workers and 1099 earners
- Professionals with write-offs that reduce taxable income
Typical requirements include:
- 12–24 months of personal or business bank statements
- Minimum credit score: 620–680
- Down payment: 10–20%
- Loan amounts: Up to $5 million
- Self-employment history: Minimum of 2 years
Top Bank Statement Loan Lenders in 2025
Here are five of the most trusted and investor-friendly lenders offering bank statement mortgages in 2025:
1. Angel Oak Mortgage Solutions
- Why It Stands Out: One of the pioneers of non-QM lending
- Loan Highlights:
- 12- or 24-month business or personal statements
- Up to 90% LTV (no mortgage insurance)
- Interest-only options available
- Best For: Experienced investors and those with high monthly deposits
2. Griffin Funding
- Why It Stands Out: Offers DSCR and bank statement loan combos
- Loan Highlights:
- 10% down for strong borrowers
- Accepts multiple types of business structures (LLC, S-corp)
- Nationwide availability
- Best For: Real estate investors scaling quickly through LLCs
3. Acra Lending
- Why It Stands Out: Flexible with credit and reserve requirements
- Loan Highlights:
- DSCR options available alongside bank statement underwriting
- Willing to work with newer businesses
- Best For: Newer entrepreneurs with clean deposit histories
4. Newfi Lending
- Why It Stands Out: Competitive rates for high-FICO borrowers
- Loan Highlights:
- Allows mixing personal + business statements
- Asset depletion considered in some cases
- Best For: High-net-worth borrowers with solid credit
5. Figure
- Why It Stands Out: Fast, fully digital lending process
- Loan Highlights:
- 5-day closings on HELOCs and fast preapprovals
- Great for investors who combine HELOCs + bank statement strategies
- Best For: Tech-savvy borrowers needing speed and scalability
Ready to explore your options? Get matched with the right lender now →
Pros and Cons of Bank Statement Loans
Pros:
- No tax returns or W-2s required
- Flexibility for self-employed borrowers
- Fast closings with some lenders
- Can qualify even with high tax write-offs
Cons:
- Higher interest rates than conventional loans
- Requires strong bank deposit history
- Not available from all lenders
- Manual underwriting = more scrutiny
When to Choose a Bank Statement Loan
This loan type is ideal for self-employed investors who:
- Are unable to qualify for conventional loans due to low taxable income
- Need faster, more flexible approval processes
- Want to maintain tax strategies without penalizing loan eligibility
- Plan to purchase or refinance 1–4 unit residential properties
If you’re also considering rental income qualification, explore DSCR Loans for Self-Employed Investors, which may offer better scalability.
How to Qualify
Use this quick checklist to improve your approval odds:
- Stable, consistent deposits: Show monthly income that covers projected mortgage payments
- Clean bank statements: Avoid large unexplained deposits or overdrafts
- Strong credit score: 680+ preferred for best rates
- Adequate reserves: Typically 3–6 months of payments in the bank
- 2+ years in business: Some exceptions apply
Need help prepping your paperwork? Submit your scenario for a lender match
FAQ: Bank Statement Loans in 2025
Can I use business bank statements?
Yes. Most lenders accept business statements, but they may apply an expense factor (e.g., 50%) to calculate qualifying income.
Do I have to be self-employed for two full years?
Generally, yes. But some lenders will consider 1 year with additional compensating factors.
Can I qualify with irregular income?
Possibly. Lenders average income across 12–24 months. Significant month-to-month fluctuations may raise concerns.
Are bank statement loans only for primary residences?
No. Many lenders allow investment properties, especially 1–4 unit rentals.
How do rates compare to conventional loans?
Expect rates 1–2% higher than traditional mortgages. However, the flexibility often outweighs the cost.
Read Next
- Bank Statement Loans 101: How They Work
- Bank Statement vs DSCR Loans: What’s Best for You?
- Self-Employed Mortgage Guide for Investors
Final Thoughts
For self-employed borrowers, bank statement loans unlock access to real estate financing that traditional lenders often deny. Whether you’re scaling your portfolio, refinancing a rental, or buying your first investment property, these loans allow your real income to shine—even if it’s not on paper.
Take the next step toward approval today: Submit your loan scenario here →
Get Expert Investment Financing
- Matched with investor-friendly lenders
- Fast pre-approvals-no W2s required
- Financing options fro rentals, BRRRR, STRs
- Scale your portfolio with confidence
Our advise is based on experience in the mortgage industry and we are dedicated to helping you achieve your goal of owning a home. We may receive compensation from partner banks when you view mortgage rates listed on our website.
