How do 1099 mortgage loans calculate income?

A 1099 program averages your gross 1099 income over one or two years and applies a flat expense factor (commonly about 10%) instead of deducting every write-off the way a tax-return loan does. The result is your qualifying income — usually higher than your net income after Schedule C deductions.

Can I get a mortgage as a 1099 contractor or gig worker?

Yes. 1099 income loans are designed for independent contractors, freelancers, and gig workers. You qualify on your 1099s and bank activity rather than W-2s and tax returns, which often credits more income than a conventional loan would.

Do I need one or two years of 1099 income?

Two years is the most common requirement and helps average out swings, but some programs accept a single year of 1099 income for an established contractor in the same line of work.

1099 Income Mortgage Calculator

Paid on 1099s? You don't need W-2s to buy a home. See the qualifying monthly income a lender can credit from your 1099 income — after a flat expense factor, not the deep deductions a tax-return loan counts against you.

Your 1099 Income

History to average

Two years is most common; some programs accept a single year for established contractors.

Total 1099 income — most recent year

Gross income reported across all 1099s for the year.

Total 1099 income — prior year

Expense factor

10%

Many 1099 programs apply a flat ~10% expense factor. A CPA letter on your actual expenses can adjust it.

Your Qualifying Income

Qualifying monthly income

$0 / year that a lender can credit

Enter your 1099 income to see the qualifying income a lender can credit.

Estimate only. Expense factors and history requirements vary by lender.

Why 1099 borrowers qualify for more here

On a conventional loan, your income is your net after every deduction on Schedule C — which is exactly what good tax planning shrinks. A 1099 program credits your gross 1099 income minus a flat expense factor instead, so the write-offs that lower your tax bill don't also sink your mortgage. It's a non-QM loan built for independent earners.

Qualifying income = Avg. annual 1099s × (1 − expense factor) ÷ 12

1099 Income Mortgage Calculator

Your Qualifying Income

Why 1099 borrowers qualify for more here

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