P&L-Only Mortgage Program: Qualify Without Tax Returns, W2s, or Bank Statements

The Problem with Traditional Mortgage Documentation

For most mortgage programs, proving income means producing two years of tax returns, W2s, 1099s, K-1s, and possibly 12–24 months of business or personal bank statements. This can be a major roadblock for:

• Newly self-employed borrowers

• Business owners with write-offs that reduce taxable income

• Entrepreneurs with strong revenue but no long history

• Freelancers and gig workers without consistent pay stubs

Even “alternative documentation” programs, such as bank statement loans, still require a year or more of statements — which means new businesses are automatically left out.

The Solution: P&L-Only Mortgage Program

Our P&L-only program removes those hurdles entirely.

Instead of tax returns, W2s, or bank statements, your income is verified solely with a CPA-prepared Profit & Loss (P&L) statement for your business.

What’s NOT Required:

• No personal or business tax returns

• No W2s, 1099s, or K-1s

• No bank statements

• No minimum income history requirement
  

Example: A New Business Owner Buys a Home

Imagine this:

Your buyer opened a landscaping business just six months ago. Business is booming, but there’s no two-year tax history. In a traditional loan scenario, that buyer wouldn’t qualify until at least two years of returns were filed.

With the P&L-only program, the buyer’s CPA prepares a year-to-date Profit & Loss statement showing the actual income the business is generating now. That document alone is used for income qualification — and the buyer can close on a new home without waiting years to build “paper history.”

Who This Program Is Perfect For

• Newly self-employed borrowers with less than two years in business

• Business owners with high gross income but low taxable income due to write-offs

• Seasonal or project-based entrepreneurs who need flexibility

• Freelancers and contractors without traditional pay documentation
  

Why Lenders Offer This Program

Traditional mortgage underwriting is designed for salaried employees with stable, predictable income. But in today’s economy, more borrowers are self-employed than ever — and they need loan products that recognize real-world earning potential, not just what shows on a tax return.

By accepting a CPA-prepared P&L, lenders can evaluate a borrower’s true current income without penalizing them for being new in business or for taking legitimate deductions.

Key Advantages

✅ Qualify faster — no waiting for years of tax history
✅ Less paperwork — no bank statement collections
✅ More accurate reflection of real income
✅ Opens the door for high-potential entrepreneurs

RECAP – Mortgage Myth-Buster

Myth: You can’t get a mortgage without two years in business.
Truth: With the right loan program, you can.

Most self-employed buyers have been told they must wait until they have two full years of tax returns before qualifying. That’s true for traditional loans — but not for our P&L-only program. If your CPA can prepare a Profit & Loss statement, you could qualify in months, not years.

Next Steps

If you or your buyer have been turned away because of documentation requirements, this program might be the perfect fit. All it takes is a CPA-prepared Profit & Loss statement to start the qualification process.

Learn if you qualify and to get a custom rate quote.📞 Call Mike at 917-267-9353 today and discover how close you are to getting approved.