CREATIVE FINANCING
Not everyone fits inside a traditional lending box — and that’s okay. At The McDaniel Mortgage Group, we specialize in creative financing solutions for self-employed borrowers, real estate investors, contractors, and anyone who needs a more flexible path to homeownership or property investment.
If you’ve been turned away due to non-W2 income, extensive tax write-offs, or unconventional documentation, we may have a solution for you.
Creative Financing Options We Offer
12-Month Bank Statement Loans
Perfect for self-employed individuals who can’t qualify using tax returns.
-
Income calculated based on total deposits over 12 months, divided by a standard or CPA-verified expense factor
-
Standard expense factor: 50%
-
CPA letter can reduce factor to as low as 10%, allowing up to 90% of deposits to count as income
-
Down payment as low as 10%
1099 / Profit & Loss (P&L) Loans
Ideal for independent contractors and business owners with strong income but limited traditional documentation.
-
20% down payment required
-
700 minimum credit score
-
Borrower must own 50% or more of the business
-
Available for primary or second homes
-
Expense factor applied based on industry type
DSCR (Debt Service Coverage Ratio) Loans
A no-income-verification product built for real estate investors.
-
Approval based on the property's rental income vs. mortgage cost
-
No personal income verification needed — only asset documentation
-
Available for investment properties only
-
20–25% down payment typically required
-
Flexible credit requirements
Example:
If your monthly mortgage payment is $1,000 and rental income is $1,500, your DSCR is 1.5. Ratios below 1.0 are allowed in some cases.
Who Benefits from Creative Financing?
-
Self-employed entrepreneurs
-
Freelancers and 1099 contractors
-
Real estate investors
-
Buyers with substantial assets but non-traditional income
-
Individuals with extensive tax deductions/write-offs
Why Work With McDaniel Mortgage?
Creative financing is all about knowing how to structure the right file, with the right documentation, for the right lender. Our team understands the nuances of alternative lending — and we’ll guide you through every step.
