When traditional mortgage guidelines don’t match your financial profile, Non-QM (non-qualified mortgage) loans can provide access to homeownership or investment opportunities. These loans are intended for borrowers who might not qualify under standard underwriting criteria — such as self-employed professionals, independent contractors, or real estate investors.
But with so many lenders offering Non-QM and self-employment loans, how do you pick the best Non-QM lender for your needs? Let’s take a closer look.
1. Choose a Lender Experienced in Non-QM and Self-Employment Loans
Not every lender understands the complexities of Non-QM loans. Experience matters — especially when your income doesn’t fit neatly into the traditional W-2 box.
North American Savings Bank (NASB) is a leading national provider of Non-QM lending, offering flexible programs such as bank statement loans, 1099 loans, and DSCR (Debt Service Coverage Ratio) loans. With extensive experience assisting self-employed borrowers and investors, NASB understands how to tailor solutions to your unique financial situation.
2. Review the Range of Loan Options
The top Non-QM lenders provide a comprehensive range of programs to accommodate different financial backgrounds. When choosing lenders, consider these options:
Bank Statement Loans: Qualify through personal or business bank statements instead of tax returns.
1099 Loans: Perfect for independent contractors, gig workers, and freelancers who receive 1099 income.
DSCR Loans: Created for real estate investors who qualify based on rental property cash flow, not personal income.
Asset Depletion Loans: Use liquid assets as income for qualification.
Recent Credit Event Loans: Ideal for borrowers who’ve experienced bankruptcy, foreclosure, or short sale.
A strong Non-QM lender will offer multiple solutions — not just one — so you can choose the loan type that best fits your goals.
3. Compare Rates, Terms, and Fees
Non-QM loans often have higher interest rates than conventional mortgages, but rates vary by lender. When comparing options, look beyond just the rate — consider total loan costs, fees, and any prepayment penalties.
Transparent lenders like NASB ensure you understand all your costs upfront, with no surprises at closing.
4. Evaluate Flexibility in Underwriting
A key feature of Non-QM lending is flexibility, but not all lenders follow the same method. The right lender will use common-sense underwriting that considers your entire financial situation — including assets, cash flow, and work history — rather than strict guidelines.
For example, with a 1099 loan or self-employment loan, lenders specializing in these programs can often approve you using bank statements or 1099s instead of tax returns.
5. Prioritize Customer Service and Reputation
Strong communication and personal service can make or break your loan experience. Check online reviews, ask for referrals, and find out whether the lender has dedicated Non-QM specialists.
NASB is consistently recognized as one of the leading mortgage lenders nationwide for customer satisfaction, offering one-on-one guidance through the Non-QM loan process.
6. Look for Efficient, In-House Processing
Since Non-QM loans may require more documentation, efficiency is essential. Lenders with in-house underwriting and processing can complete loans faster and keep you updated throughout the process. A streamlined, responsive approach helps prevent delays and ensures a smooth closing experience.
Final Thoughts
Choosing the right Non-QM lender means finding a partner who understands your financial situation — whether you’re self-employed, earn 1099 income, or invest in real estate.
NASB offers a complete range of Non-QM mortgage solutions, including bank statement, 1099, and self-employment loans, supported by experienced professionals who know how to qualify non-traditional borrowers.
Ready to explore your Non-QM loan options? Call the NASB experts at 888-661-7695 or click here for more information.
*Not all products are available for collateral located in all states or for all amounts.
