Key Variables Across Programs
| Factor | Range Across Lenders |
|---|---|
| Statement period | 12 or 24 months |
| Expense factor | 10-50%+ |
| Minimum credit score | 620-700 |
| Maximum LTV | 80-90% |
| Maximum DTI | 43-55% |
| Maximum loan amount | $2M - $10M+ |
| Reserve requirements | 6-24 months |
What to Compare
Expense factor methodology — The biggest variable in qualifying income. One lender’s 30% expense factor versus another’s 50% can mean tens of thousands in additional qualifying income. Statement period options — If your income has changed recently, choosing 12 vs 24 months matters. Not all lenders offer both. Credit score tiers — Lenders price risk differently. Your score might land in a better tier at one lender versus another. LTV limits by loan amount — A lender offering 90% LTV may drop to 80% above $1 million. Check limits at your specific loan amount. Rate adjustments — Base rates are just the starting point. Compare the full stack of adjustments for your scenario.Questions to Ask Lenders
- What expense factor applies to my business type?
- Can I use 12-month statements, or is 24 months required?
- What’s the maximum LTV at my loan amount?
- What reserves are required for my scenario?
- What rate adjustments apply to my credit score, LTV, and property type?
- Do you offer interest-only options?
Getting Multiple Quotes
Bank statement loans aren’t commoditized like conventional mortgages. Programs differ enough that shopping multiple lenders is essential. Request a full loan estimate from at least three lenders, comparing:- Interest rate and APR
- Qualifying income calculation
- Required down payment
- Closing costs and fees
- Reserve requirements