Self-Employed Mortgages in New York

Why does my tax return make me look like I earn less?

Full-doc underwriting starts from taxable profit, and every business deduction you claim lowers that figure. Some items, like depreciation, can be added back, but most ordinary expenses cannot. That is why an owner with strong deposits can show modest qualifying income. Alternative-doc programs start from deposits or a prepared P&L instead. Before changing how you file, talk to a tax professional.

Are self-employed mortgage rates higher?

Not always. If you qualify on a full-doc loan that meets agency guidelines, pricing is similar to any other borrower with the same credit and equity. Alternative-doc non-QM loans often price higher because they carry more risk for the investor. Comparing Loan Estimates for both routes is the clearest way to see the difference for your situation.

How do you get a mortgage when you are self-employed?

You document your income either with tax returns, which is the full-documentation route, or with alternative records such as bank statements, a P&L, 1099 forms or assets. A lender builds a qualifying income figure from those records and compares it with your debts. The right route usually depends on how closely your returns reflect your real cash flow. All loans are subject to credit approval.