Bank statement, 1099, asset-based and other jumbo mortgage options for Austin business owners, entrepreneurs and buyers whose income doesn’t fit a W-2 box.
You can afford the house. The question is how a lender is allowed to count your income — and that answer changes from one lender to the next. I’ve been finding the right one since 2002.
HAVE RUSSELL REVIEW MY SCENARIO
Or call me directly: (512) 423-4663
Since 2002 • 40+ lending sources • $0 lender fees • Austin-based independent broker
Which sounds most like you?
You can afford the house. The question is how the lender calculates your income.
Most of the people who call me about a jumbo loan aren’t short on money. They’re short on the kind of paperwork a particular bank wants to see. Here’s who I’m usually talking to.
Business owner
Strong cash flow, but the write-offs that lower your tax bill also lower the income a traditional lender can count.
1099 / consultant
The income is substantial and consistent. It just doesn’t arrive as a paycheck, and W-2 underwriting doesn’t know what to do with it.
High-net-worth buyer
Significant investments or liquid assets, comparatively little traditional employment income.
Complex jumbo borrower
The loan amount works financially. One bank’s particular guidelines don’t.
There’s usually more than one way to document the same ability to repay
Every one of these is a legitimate, established way a lender can look at income. The job is figuring out which one gives the clearest picture of yours.
| Your financial picture | A lender may consider |
|---|---|
| Strong deposits into personal or business accounts | Bank statement qualification |
| Significant 1099 earnings | 1099 income programs |
| Strong business performance | P&L-based qualification |
| Substantial investments or liquid assets | Asset depletion / asset utilization |
| Traditional documentation actually produces enough income | Conventional jumbo underwriting |
The goal isn’t to put you into a nontraditional loan. It’s to figure out which legitimate qualification method tells the truth about your finances.
One jumbo lender can say no. Another can look at the same borrower and say yes.
Jumbo loans don’t go through Fannie Mae or Freddie Mac. Each investor writes its own rules. That means two lenders can look at the exact same file and disagree about things like:
expense factors • reserves • which assets count • how income is calculated • documentation • credit • property type • loan size
Different lender. Different rulebook.
With access to 40+ lending sources, I look for the lender whose guidelines fit you — instead of trying to force you into one bank’s guidelines.
Jumbo bank statement loans
This is the one I get asked about most, so it gets the most room.
If you own a business, your CPA is doing exactly what you pay them to do: take every legitimate deduction and get your tax bill down. The same deductions that save you money in April are the ones that make your income look small to an underwriter in August. The business is healthy. The tax return doesn’t say so.
Certain jumbo lenders can look at the deposits instead of the return. Twelve or twenty-four months of statements, an expense assumption for the business, and a qualifying income figure that reflects what actually came in the door.
Personal bank statements
For borrowers whose qualifying deposits flow mostly through personal accounts.
Business bank statements
For owners whose income lives inside the company’s accounts. Ownership share and the type of business both matter here.
What a lender actually evaluates
Deposit history, business activity, which deposits are eligible, the expense assumption, reserves, credit, and the complete picture — not one number.
I don’t publish minimum credit scores, maximum loan amounts or down payment figures on this page on purpose. Those move, and by lender. I’ll give you the real numbers for your scenario when we talk. Also worth knowing: these programs typically carry no monthly mortgage insurance.
Sometimes bank statements aren’t the best answer
A bank statement loan is a tool, not a destination. Some borrowers have a simpler path, and I’d rather find it than sell you the more complicated one.
1099 income
If most of your income shows up on 1099s, there are programs that qualify you on the 1099s themselves — often cleaner than reconstructing deposits.
Assets
If you’re asset-rich and income-light, an asset depletion or asset utilization program can convert part of what you hold into qualifying income. How asset depletion works.
Traditional jumbo
Sometimes, once everything is reviewed correctly, standard income documentation works just fine. Austin jumbo loans.
That’s why I want to see the financial picture before either of us decides which loan program we’re trying to fit you into.
The kinds of problems I actually solve
Real files, details changed enough to keep them private.
Reserves, not income
$1M+ jumbo refinance
The borrower’s income was never the issue. One bank’s reserve requirement was. Lenders differ on how many months of reserves they want and which assets count. I placed the file with a lender whose reserve rules fit the borrower’s actual balance sheet, and it funded on the lock date.
Bank statements, not tax returns
Austin purchase
The tax returns showed far less income than the business actually produced. Rather than push the file through traditional underwriting and hope, I documented income from bank-statement deposits, and the borrower was approved on that basis.
Assets, not employment income
$900K purchase
Strong assets, not enough qualifying income on paper. An asset depletion program converted a portion of the borrower’s liquid assets into qualifying income, and the file closed on that basis.
Start with the financial picture, not the loan application
You don’t need to fill out a full application to find out whether your situation works. That’s backwards. Here’s the order I do it in.
1
Tell me the situation
Purchase price, approximate loan amount, how you’re paid or how the business is structured, and what you’ve already been told.
2
Identify the qualification paths
Traditional jumbo, bank statements, 1099, assets, or a combination. Usually more than one is possible. I’ll tell you which is cleanest.
3
Match the file to the lender
Figure out whose guidelines fit your file before an underwriter gets a chance to be surprised by it.
HAVE RUSSELL REVIEW MY SCENARIO
Takes about two minutes. No credit pull to start the conversation.
Complex jumbo financing in the Austin market
In Travis County, a loan crosses into jumbo territory above the conforming limit of $832,750. At Austin prices, that’s not a mansion. It’s a lot of ordinary purchases in Westlake, Tarrytown, Barton Creek, around Lake Travis, and a fair share of new construction.
Which means income-documentation problems that would be a nuisance on a smaller loan become the whole deal here. A business owner who’d sail through a conforming approval can get stuck at the jumbo level for reasons that have nothing to do with whether they can afford the house.
Looking for straightforward jumbo financing with standard documentation? That page is here: Austin jumbo loans. If your income is complicated, you’re on the right page.
Why work with me on a complex jumbo file?
40+ lending sources
The solution isn’t limited to one bank’s guidelines. I shop the file, and the lenders compete for it.
Review before underwriting
I find the problem and the likely solution before an underwriter finds it for us.
One person owns the file
You deal with me. Not a salesperson, then a processor, then an 800 number. More about me.
“Most lenders ask whether they can approve you. I ask which lender should have you.”
— Russell Stout
A note for CPAs and financial advisors
If you have a client whose return you optimized well and who is now hearing “no” from a bank on a home purchase, that’s usually a documentation-method problem, not an affordability problem. I’m glad to look at the scenario with you before your client makes an offer. (512) 423-4663
Frequently asked questions
Can I get a jumbo mortgage in Austin using bank statements?
Yes. Certain lenders offer jumbo programs that qualify you on bank-statement deposits rather than tax-return income. Eligibility depends on the complete picture — deposit history, business type, reserves, credit and the property — not one number. I have access to 40+ lending sources, and several of them offer this on jumbo loan amounts.
Can a self-employed borrower qualify for a jumbo loan without tax returns?
Yes. That’s exactly what bank statement, 1099 and asset-based jumbo programs exist for. The lender still verifies income — it just uses a different document to do it. What you can’t do is skip documentation altogether. What you can do is choose the documentation that reflects your finances accurately.
Can business bank statements be used for a jumbo mortgage?
Yes, with some conditions. Lenders look at your ownership share of the business, the type of business, and apply an expense factor to the deposits to estimate what’s actually income. Business statements work best when the income clearly lives in the company. If most of it flows to a personal account, personal statements are usually simpler.
How many months of bank statements are typically reviewed?
Most programs use twelve or twenty-four months. Twenty-four generally produces a more stable income figure and can open up more lender options; twelve is faster and works well when the business has been consistent. Which one fits depends on your deposit pattern and which lender we’re targeting.
Are bank statement jumbo loans considered non-QM loans?
Yes. “Non-QM” simply means the loan doesn’t meet the federal Qualified Mortgage definition, usually because income is documented differently. It does not mean subprime, and it does not mean the lender skips verifying your ability to repay. They verify it. They just use bank statements, 1099s or assets instead of tax returns.
Can 1099 income be used for a jumbo mortgage?
Yes. Some lenders have programs that qualify you directly on your 1099s, usually one or two years of them, with an expense factor applied. For a consultant or contractor with clean 1099 income, this is often simpler than a bank statement program because there’s less to reconstruct.
Can investment assets be used instead of employment income?
Yes. Asset depletion and asset utilization programs treat a portion of your liquid or investment assets as income for qualifying purposes. This is built for retirees, people between ventures, and anyone whose balance sheet is much stronger than their pay stub. Which assets count, and how they’re counted, varies by lender.
What is asset depletion and how does it work on a jumbo loan?
The lender takes your eligible assets, applies its own rules about which ones count, and divides by a set number of months to produce a monthly qualifying income. That income then goes through normal underwriting. Because every lender sets its own divisor and eligible-asset list, the same portfolio can qualify for meaningfully different loan amounts at different lenders. Full explanation here.
Why would one lender decline my jumbo loan when another approves it?
Because jumbo loans don’t follow one national rulebook. Each investor sets its own guidelines on reserves, expense factors, eligible assets, property types and income calculation. A file that fails one lender’s reserve test can pass another’s without changing anything about the borrower. That’s the entire reason to work with a broker on a jumbo loan.
How much down payment is required for a bank statement jumbo loan?
More than a conforming loan, and it varies by lender, loan amount, credit profile and property. I deliberately don’t publish a figure here because it changes and because the answer for your file depends on which lender fits you best. I’ll give you the real number for your scenario when we talk.
Should I get qualified before making an offer on an Austin luxury home?
Yes, and on a complex-income file it matters more, not less. Listing agents at this price point want to know the financing is real. Sorting out the documentation method before you write an offer means your pre-approval letter reflects a lender that has actually looked at your kind of income, not a generic estimate that falls apart in underwriting.
What should I send Russell for an initial review?
Nothing formal to start. Tell me the approximate purchase price and loan amount, how you earn your income or how the business is structured, a rough sense of your assets, and anything a previous lender has already told you. That’s enough for me to tell you which paths are worth pursuing. Documents come after we know which lender we’re aiming at.
Not sure which type of jumbo loan fits?
You don’t need to figure that out before calling me. That’s my job.
Tell me how you earn your income, roughly what you’re looking to buy, and what you’ve already been told. I’ll tell you which qualification paths are worth considering.
Texas Mortgage Consultants, PLLC | NMLS #1843758 | Russell Stout NMLS #220896 | Licensed by the Texas Department of Savings and Mortgage Lending | All loans subject to credit approval. Terms subject to change without notice. This is not a commitment to lend. Equal Housing Lender.
