How self-employed income is averaged on a conventional loan, two-year history, and when Non-QM fits better. The 2 Mortgage Guys at Luminate Bank.
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Conventional Loans
Self-Employed
Yes — self-employed borrowers qualify for conventional loans every day. Lenders focus on documented net income from tax returns, business stability, and reserves — not whether you receive a W-2.
Underwriters look past gross deposits and focus on taxable, recurring income.
Clean documentation and a clear business story make approval far more predictable.
Having these ready keeps underwriting from stalling after you go under contract.
If tax returns understate cash flow, bank-statement or Non-QM options can unlock buying power.
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Send us your last two tax returns — we will tell you what income conventional underwriting is likely to use and whether another path fits better.