4 Ways to Get a Loan if You’re Self-Employed

By: Jack Knatch

Whether you’re a small business owner, freelancer, Airbnb host, or occasional Uber driver, there are several funding options to turn your side hustle into an affordable loan.

A 2019 Gallup Poll found that nearly 30% of Americans are self-employed. Plus, non-traditional work continued to increase in popularity during the pandemic. Big banks and traditional lenders put up roadblocks that make it difficult to prove self-employed income, but non-qualifying home loans provide flexible solutions:

1. Bank Statement Loans

Demonstrate your ability to repay the loan with just a single month’s bank statement. This type of non-qualified mortgage is one of the easiest ways to prove your financial reserves, even if you don’t have a consistent work history.

2. Stated Income Loans

After the market crash in 2008, stated income residential loans were outlawed. However, they are still a non-QM loan option for real estate investors. With a great credit score and cash reserves, you don’t have to verify income for these ‘alt-doc’ loans.

3. Secured or Asset-Based Loans

Put up collateral for faster approval. If you don’t qualify for an unsecured loan, you may be able to back the loan and leverage cash assets, including savings and money market accounts. 

4. Co-Signed or Co-Borrowed Loans

Co-signers greatly expand your funding options because they add a level of security for the lender. The lender will weigh your family member’s financial history, and the co-signer will be equally responsible for the loan’s repayment.

Looking for a loan? We offer the same level of flexibility and choice that you enjoy in your self-employed work life! Helpwithmyloan has a 95% funding rate with automated underwriting, and we have successfully funded over $100M for our customers.

Even if you don’t have consistent pay stubs, tax returns, or W-2s, Helpwithmyloan can match you with top non-QM lenders and help you qualify for stated income loans.

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