A CPA / P&L Statement loan is a Non-QM (Non-Qualified Mortgage) program designed for self-employed borrowers who don’t have traditional tax returns or W-2s.
Instead of providing full tax documentation, you qualify based on a Profit & Loss (P&L) statement prepared by your CPA or licensed tax professional, showing your business income and expenses for the past 12–24 months.

This program is ideal for:

Self-employed business owners, freelancers, or independent contractors

Borrowers with significant write-offs on tax returns that understate actual income

Small business owners with consistent revenue but limited formal documentation

Professionals whose CPA can verify income accurately (e.g., Realtors, consultants, medical professionals, small business owners)

Typically, lenders require:

A CPA-prepared Profit & Loss statement (covering the past 12–24 months)

A CPA letter of verification confirming they prepared the statement

Business license or evidence of self-employment

Bank statements (sometimes requested to support P&L accuracy)
Each lender’s requirements can vary slightly.

They’re both self-employed programs, but they verify income differently:

P&L loans use a CPA-prepared statement summarizing business performance.

Bank statement loans analyze 12–24 months of deposits to estimate income.
P&L loans are often faster to underwrite because they require fewer documents — provided you work with a licensed CPA.

Most lenders require a minimum score of 620–640, but better pricing and lower down payments are available with scores above 680.

Down payment minimums typically range from:

10%–15% for primary residences

15%–20% for second homes or investment properties
The exact amount depends on your credit, income strength, and property type.

Yes. CPA / P&L Statement loans are available for primary homes, second homes, and investment properties across Texas.
Investment properties usually require larger down payments (20%+) and higher reserve requirements.

Because these are Non-QM loans, there are no standard loan limits.
You can finance homes well above conforming or jumbo thresholds — often up to $3–5 million, depending on credit and liquidity.

No. Most P&L-based loans do not require PMI, even when putting less than 20% down.
Instead, pricing is adjusted slightly higher to account for risk, offering flexibility without monthly insurance costs.

You can use this loan to purchase or refinance:

Single-family homes

Townhomes or condos

2–4 unit properties (if at least one is owner-occupied)

Second homes or investment properties

Typically at least 2 years of self-employment is required.
Some lenders allow 1 year in business if you have prior experience in the same field.

Yes, you can use a CPA / P&L loan to:

Refinance an existing mortgage for a better rate

Cash-out refinance to access equity for business or personal use

Transition from a bank statement loan into a simpler structure

No tax returns or W-2s required

Fast approval using CPA-prepared income documentation

Ideal for business owners with strong cash flow but complex tax situations

No PMI and flexible property types

Works for primary, second, or investment homes

Slightly higher rates than conventional or FHA loans

Must have a CPA or accountant willing to verify income

Not eligible for government programs (FHA, VA, USDA)

May require larger reserves depending on loan size