Self-Employed Mortgage Guide for Florida: Every Way to Qualify
Short answer
Yes, you can get a mortgage when you’re self-employed. Lenders usually want about two years of history and use your net income from tax returns, but bank statement, P&L and asset-based loans can work when your returns don’t tell the whole story.
Ask about your actual file — no SSN, no credit pull.
If you own a business, work on 1099s, or earn commissions, getting a mortgage works a little differently. The good news: self-employed borrowers buy homes in Florida every day. The key is matching how you actually earn and document income to the right loan. I’ve been helping self-employed buyers in Jacksonville and across Florida since 2000. This guide pulls together everything we’ve written on the subject, in the order most people need it.
Who Counts as Self-Employed to a Lender?
Lenders generally treat you as self-employed if you own 25% or more of a business, or if you’re paid on a 1099 instead of a W-2. That includes contractors, real estate agents, independent insurance agents, truck owner-operators, consultants, doctors on contract, and small business owners of every kind.
How Lenders Calculate Self-Employed Income
- Net income, not gross. On a traditional loan, the underwriter starts from the taxable income on your returns, not your sales.
- Usually a two-year average. If income is declining, the lender may use the lower, more recent year, or may not be able to use it at all.
- Some write-offs get added back. Depreciation and certain one-time expenses can often be added back to your income.
- Business debt counts too. If a debt is in your name, it may count against you unless the business pays it and you can document that.
This is why so many business owners get denied at a bank: their tax returns show a small net income after legitimate write-offs. See Mortgage denied because of your tax returns?
The rate quote takes no Social Security number and no credit pull. Nathan Young, NMLS #325206 · North Star Mortgage Network, Inc. NMLS #356789 · Jacksonville, FL · Serving Florida since 2000. All loans subject to credit approval.
How Long Do You Need to Be Self-Employed?
Most traditional programs look for about two years of self-employment history. Some allow one year when you worked in the same field before going out on your own. Full answer: How Long Do You Need to Be Self-Employed to Get a Mortgage? Just made the switch? Read W-2 to 1099: qualifying after becoming self-employed.
Tax returns show a loss but you need to tap your home equity? Read Home Equity Loan When Your Tax Returns Show a Loss.
Ways to Qualify, From Most Common to Most Flexible
- Full documentation (tax returns). Conventional, FHA, VA and USDA loans typically use your personal and business returns. Usually the best pricing when your returns support the payment. FHA details: FHA loans and the self-employed.
- Bank statement loans. Income is calculated from 12 or 24 months of personal or business bank deposits instead of tax returns. Bank statement loans in Jacksonville · bank statement jumbo loans.
- Profit-and-loss (P&L) programs. Some programs qualify you from a P&L statement, often prepared by a CPA or tax preparer. How P&L programs work.
- Loans without tax returns. An overview of the non-traditional options: Florida self-employed loans without tax returns.
- Asset-based loans. If you have significant savings or investments, some programs qualify you on assets instead of income. Asset depletion loans · asset-based mortgages.
- Interest-only options. For larger homes where the payment is the hurdle. Is an interest-only mortgage worth it?
Bank statement, P&L and asset-based loans are non-QM programs. They typically need a larger down payment and cost more than traditional loans, and they are available for qualified borrowers only. For some business owners they’re still the best fit.
Other Income Questions Self-Employed Borrowers Ask
- Seasonal income: common for contractors, landscapers and tourism businesses in Northeast Florida.
- Verification of employment: how lenders confirm your business is still operating before closing.
One more group worth naming: doctors and dentists early in their careers often have the income to support a payment but not the tax returns to prove it yet. That is why physician loan options exist as a separate program, with their own treatment of student debt and employment contracts. Available for qualified borrowers; program guidelines apply and may change.
Five Mistakes That Hurt Self-Employed Borrowers
- Writing off so much that taxable income can’t support the payment, without knowing there are other loan options.
- Mixing business and personal money in one account.
- Making large cash deposits you can’t source.
- Changing business structure or opening new credit right before applying.
- Filing a tax extension without telling your loan officer. Timing matters.
Frequently Asked Questions
Can I get a mortgage if I’m self-employed in Florida?
Yes. Self-employed borrowers can qualify with traditional loans using tax returns, or with bank statement, P&L or asset-based programs when tax returns don’t show enough income. Program guidelines apply.
Do lenders use my gross income or net income?
Traditional loans generally use net taxable income from your returns, with certain add-backs like depreciation. Bank statement programs calculate income from your deposits instead.
What is a bank statement loan?
A non-QM mortgage that uses 12 or 24 months of bank deposits to calculate income instead of tax returns. It usually requires a larger down payment than a traditional loan.
How long do I need to be self-employed to get a mortgage?
Usually about two years. Some programs accept one year when you worked in the same line of work before becoming self-employed. Lender overlays may be stricter.
Get started: Free rate quote · Start an application · Call or text 904-880-6741. More guides: Florida Mortgage Guidelines Library.
Available for qualified borrowers. Program guidelines apply and may change, and lender overlays may be stricter. Rates and terms are subject to change. Any rate or payment example is an estimate based on the information provided. All loans subject to credit approval. Reviewed September 2026.
Nathan Young, NMLS #325206 | North Star Mortgage Network, Inc., NMLS #356789 | 12058 San Jose Blvd, Suite 404, Jacksonville, FL 32223 | 904-880-6741 | Equal Housing Lender
