Being self-employed doesn’t mean you can’t qualify for a mortgage—it just means you’ll need to provide a little more paperwork to verify your income. Unlike traditional employees who can submit W-2s and pay stubs, self-employed borrowers typically need to show at least two years of personal and business tax returns. Lenders may also request profit-and-loss statements, bank statements, or 1099 forms to get a full picture of your income stability.
The good news is that the process is more straightforward than many people think. If your income has been consistent and well-documented, securing a mortgage can be just as simple as it is for a salaried borrower. Working with a lender who understands self-employed applicants can make all the difference. They can guide you through the required documentation and help you find loan options that match your financial situation.
One of our local lenders, from First Northern Credit Union, be a valuable resource. We’re familiar with the housing market in the area and can offer personalized service, rather than a one-size-fits-all approach. Plus, we can walk you through Illinois-specific down payment assistance programs or other options that may be available to you.
If you’re self-employed and considering homeownership, don’t let paperwork hold you back. Reach out to a trusted local lender who can help you navigate the process with confidence and clarity.