Denied by Lenders? How We Got This Self-Employed Buyer Approved

Can You Get a Mortgage If You’re Self-Employed? Here’s the Truth.

If you're self-employed and wondering whether buying a home is even possible—you're not alone. One of the most common questions I get is:

“I just started my business a few years ago. I’ve taken a lot of deductions and don’t show much income on my taxes. Can I still get a mortgage?”

The short answer: YES, you can.

I’ve helped many self-employed buyers just like you qualify for home loans, even when traditional lenders said no. In this post, I’ll walk you through what most lenders are looking for, the pitfalls to avoid, and a real success story of how one borrower closed their mortgage in just 10 days.

📄 Why Traditional Mortgages Are Tough for Business Owners

Most conventional or “conforming” loans require:

• 2 years of tax returns

• Proof of consistent income after deductions

• A solid debt-to-income ratio (DTI)

Here’s the catch: when you're self-employed, your taxable income often looks much lower than what you actually make because you're smart with deductions. Unfortunately, many lenders only look at net income on your tax return, divide it by two years, and base your loan approval on that number.

That makes it tough to qualify using a standard approach, especially if you’re early in your business journey.

The Good News: You Do Have Options

If you've been told “no” by a bank or big lender, don’t give up.

There are alternative mortgage options for self-employed borrowers that take a more flexible view of your financial profile. These are often called non-QM loans, bank statement loans, or full doc loans with manual underwriting.

These programs:

• May accept just 1 year of tax returns or income

• Allow additional income verification (like bank statements or investment accounts)

• Offer flexible down payment options (often 20%+)

• Still provide great terms and fixed-rate options

Real Client Story: One Year of Income = Approved

Recently, a self-employed client came to me after being denied by another lender. Why? They only had one year of income. The other lender averaged two years including a zero-income year and the borrower no longer qualified.

I stepped in, reviewed their full profile, and found an investor willing to approve the loan using just one year of income. We were able to:

• Use a full doc loan structure

• Review tax returns, credit, bank statements, and assets

• Qualify based on only the most recent year of income

• Close the loan in just 10 calendar days

Yes 10 days. No gimmicks. Just the right strategy and the right loan.

💡 Key Takeaways If You’re Self-Employed:

• You don’t need two perfect years of tax returns.

• There are lenders who understand how self-employed income works.

• With the right planning, you can get approved and close quickly.

• Custom mortgage solutions exist and that’s where I come in.

Watch the Video:

Let’s Build Your Mortgage Game Plan

Whether you’re ready to buy now or just planning ahead for the next 3, 6, or 12 months, I’d love to help you create a custom strategy.

📅 Book a Free Zoom Consultation Here → Start Your Free 15-min Strategy Call Today

We’ll walk through:

• Your current income and assets

• Loan options that fit your situation

• A step-by-step plan to get mortgage-ready

I’m Ron Roberts aka Ron the Home Loan Dude

I specialize in helping self-employed buyers find mortgage solutions that work. If others said “no,” let’s find your yes.

📬 Questions? Drop them in the comments or reach out directly!

Ron Roberts is your trusted mortgage broker in Orlando, Florida

Buying a home is a major milestone and borrowers deserve more than a one-size-fits-all loan. That’s where Ron Roberts with Amerifund Home Loans, Inc. comes in. As a trusted mortgage consultant, Ron takes a personalized approach helping clients navigate each step with clarity and confidence. From the initial consultation to pre-approval, and from selecting the right loan to closing day, Ron is committed to crafting financing strategies that align with each borrower’s unique goals, budget, and lifestyle. If you're ready to take the first step toward homeownership, connect with Ron Roberts for a tailored mortgage consultation. He'll help make the journey smooth, informed, and truly your own.

Read Some 5-star reviews From Our Happy Clients

Ron was professional and excellent to work with. Very fast follow up, and got me an excellent service to get my house and better rate that right I recommend him and his company highly. It is called five stars and he has earned it.- Dimy

As a first time homebuyer I would have been a little lost but Ron was absolutely amazing from the first day until the closing table. If I ever had any questions or concerns (even in the middle of the night) he was there to help! I highly recommend Ron for your home loan needs!!! Couldn’t have done this without him!! Words can’t express my gratitude!!! – Zach

Start Your Free 15-min Strategy Call Today

Ron Roberts, Loan Officer with Amerifund Home Loans, proudly serves the Clermont, Minneola and Groveland areas. As a local mortgage expert, Ron is committed to delivering honest answers, transparent guidance, and a truly stress-free experience from start to finish. With no hidden fees or surprise costs, his clients keep more of their hard-earned money where it belongs in their pocket. Whether you're buying your first home, upgrading, or refinancing, Ron is a trusted mortgage broker ready to serve you with integrity and personal attention every step of the way.

📞 Call Ron today at 321-332-8049 to get started.

Frequently Asked Questions: Mortgages for the Self-Employed

🔹 Can I get a mortgage with just one year of self-employment?

Yes, it’s possible. Some lenders—especially those offering non-QM or portfolio loans—may allow you to qualify with just one year of self-employment income, particularly if you have strong credit, a solid business profile, and a larger down payment (typically 20%).

🔹 Do I need to show tax returns to get approved?

Not always. While traditional loans require two years of tax returns, alternative options like bank statement loans or asset depletion loans can use 12–24 months of bank deposits or asset balances instead.

🔹 What if I’ve taken a lot of tax deductions and don’t show much income?

This is extremely common for small business owners. Even if your net taxable income is low, there may be ways to add back certain expenses or use alternative documentation to show your true income potential. A custom loan solution can help.

🔹 How much do I need for a down payment?

It depends on the loan type:

• Conventional loans: 5%–20% down

• Non-QM/self-employed loans: Often 20%–25% down is recommended

• Jumbo or niche programs may require more depending on your profile

The good news? We’ll review your full situation and find the best fit for your goals.

🔹 Can I qualify if I just started my business?

Yes, especially if:

• You were in the same line of work before going self-employed

• You can show consistent income via bank statements or contracts

• You have strong credit and assets to support the loan

Every case is different this is exactly why a consultation helps.

🔹 What loan programs are available for self-employed buyers?

Here are a few common options:

• Bank Statement Loans

• Full Doc Loans with One Year of Returns

• Asset-Based Loans

• P&L Only Loans (with CPA-prepared statements)

• Conventional loans (if income is solid on paper)

We’ll explore which programs fit your scenario best.

🔹 How long does it take to get approved?

Depending on the loan type and how quickly documents are submitted, we can often close in as little as 12–15 days for qualified buyers even on custom loans. Every timeline is tailored.

🔹 Will applying hurt my credit?

A soft credit check can usually be done for initial pre-qualification. A full credit pull is needed once you’re ready to move forward, but it’s a minor and temporary hit that’s expected when applying for a mortgage.

🔹 What’s my first step?

Schedule a free consultation with me. We’ll review your situation, talk through your goals, and outline a custom mortgage strategy whether you’re buying now or in the future.

📅 Book your call here → Start Your Free 15-min Strategy Call Today