1099 Loans
A 1099 loan is designed for independent contractors, freelancers, and gig-economy workers who are paid on a 1099 rather than a W-2. Instead of full tax returns, the lender qualifies you using your 1099 forms, generally from the past one to two years, to verify your income.
Because contract and self-employed workers often write off expenses that lower their taxable income, a 1099 loan can help you qualify based on your gross earnings rather than your adjusted net income. It works for a primary residence, a second home, or an investment property.
1099 Loan Characteristics
Qualifies you using 1099 forms instead of full tax returns
Built for independent contractors, freelancers, and commission-based earners
Generally uses one to two years of 1099 income history
Available for primary residences, second homes, and investment properties
Helps contractors qualify on gross income rather than written-down net income
Typically requires solid credit and a reasonable down payment
Rates are usually somewhat higher than a fully documented conventional loan
Simpler documentation than a traditional self-employed loan
5) Conventional loans offer options for fixed or adjustable interest rates
6) Conventional loans can be used to purchase a variety of property types, including single-family homes, multi-unit properties, and condominiums
7) Conventional loans do not require mortgage insurance if the borrower puts down at least 20% of the purchase price
8) Conventional loans offer options for refinancing, including cash-out refinancing and rate-and-term refinancing, which can help borrowers lower their monthly mortgage payments or access equity in their home.
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This is not an offer to enter into an agreement. This is not a commitment to make a loan. Not all customers will qualify. Information, rates and programs are subject to change without prior notice. All products are subject to credit and property approval. All approvals are subject to underwriting guidelines. Not all products are available in all states or for all dollar amounts. Other restrictions and limitations may apply. VA loans subject to individual VA Entitlement amounts and eligibility, qualifying factors such as income and credit standards, and property limits. NEXA Mortgage, LLC is not affiliated with any government agencies. These materials are not from VA, HUD or FHA, and were not approved by VA, HUD or FHA, or any other government agency. Copyright © 2026 NEXA Mortgage, LLC NMLS#1660690. AZBK #2006218. 5559 S Sossaman Rd Bldg #1 Ste #101 Mesa, AZ 85212, 602-344-9333. www.NEXALending.com NEXA Mortgage, LLC is an Equal Housing Lender | Equal Housing Opportunity. All rights reserved.