Discover the best current mortgage rate in your area
1-Year Fixed
4.99%
2-Year Fixed
5.34%
3-Year Fixed
5.19%
4-Year Fixed
5.34%
5-Year Fixed
5.09%
5-Year Variable
4.95%
A self-employed mortgage is a home loan tailored for individuals who run their own businesses or work as freelancers. Instead of W-2s and pay stubs, self-employed borrowers need to provide tax returns, profit and loss statements, and bank statements as proof of income. Lenders often require a higher down payment, typically ranging from 10% to 30%, due to the perceived higher risk. Additionally, lenders rigorously assess credit scores and overall financial stability to ensure the borrower can manage the mortgage. This type of mortgage addresses the unique income verification challenges faced by self-employed individuals.
Additionally, lenders rigorously assess credit scores and overall financial stability to ensure the borrower can manage the mortgage. This type of mortgage addresses the unique income verification challenges faced by self-employed individuals.
A private mortgage is a home loan provided by a private individual or organization rather than a traditional financial institution like a bank or credit union. Key points include:
Private lenders can be more flexible with terms, potentially offering loans to those who may not qualify with traditional lenders due to credit issues or lack of income history.
These loans often come with higher interest rates to compensate for the increased risk taken on by the private lender.
Private mortgages typically have shorter repayment terms, such as one to five years, after which a balloon payment may be due.
