Answer: It depends on your borrower’s financial profile. Luxury Mortgage offers both 12-month and 24-month Bank Statement options, allowing you to use the documentation that best represents a self-employed borrower’s qualifying income.
If your borrower has experienced recent business growth or has stronger deposits over the past year, a 12-month Bank Statement option may provide higher qualifying income.
If your borrower owns a seasonal business, has fluctuating income, or would benefit from averaging deposits over a longer period, a 24-month option may be the better choice.
Every borrower is different. Comparing both documentation options before submitting the loan can help determine which approach provides the strongest qualifying income while meeting program guidelines.
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