Self-employed cash-out refinance in Arizona without tax returns.
Mike Certo · Cornerstone First Mortgage · NMLS #260555 ·
You built equity in your Arizona home. Now you want to use some of it. The problem is that your tax returns show a small net number after every legal write-off, and a normal refinance leans on that number. We have a path that skips returns entirely and looks at your real cash flow instead.
How a cash-out refinance works without tax returns
A cash-out refinance replaces your current mortgage with a larger one and hands you the difference in cash. For self-employed borrowers, we prove income with bank statements, a 1099, a profit and loss statement, or liquid assets. We never ask for tax returns. These are NonQM loans, so your credit, your equity, and your reserves still matter. Your write-offs do not sink you.
Which documents can I use to qualify?
You pick the document path that shows the most income. Bank statements work well when your deposits run high. A 1099 fits clean contractor income. A CPA profit and loss statement helps when your accountant tracks the business tightly. Asset depletion suits retirees and people with large savings. Here is how each path lines up.
| Documentation type | Typical max cash-out LTV | What you provide |
|---|---|---|
| Bank statement | Up to 80% | 12 to 24 months of business or personal bank statements |
| 1099 | Up to 80% | One to two years of 1099 forms in the same line of work |
| Profit and loss (P&L) | Up to 75% | A CPA-prepared P&L, often paired with a few months of statements |
| Asset depletion | Up to 75% | Statements for the savings, brokerage, or retirement accounts we draw from |
These LTV ceilings move with your credit score and the strength of your file. We confirm your exact number once we see the appraisal and your documents.
How much cash can I pull out?
On most self-employed cash-out files we lend up to 80% of the appraised value. Say your Scottsdale home appraises at $600,000 and you owe $200,000. Eighty percent is $480,000, so the new loan can be that size. After paying off the $200,000, roughly $280,000 is available before closing costs. The appraisal sets the ceiling, so a strong value helps you a lot.
What can I use the cash for?
Common permitted uses include several you will recognize. We see three reasons most often. First, debt consolidation, where high-rate credit cards or a business line get folded into the mortgage. Second, business capital, like funding payroll, inventory, or equipment for the next growth push. Third, reserves, where you simply want a cushion of cash sitting in the bank. Home improvements and buying another property are common too.
How do we calculate your income?
On a bank statement file, we total your deposits over 12 or 24 months, then apply an expense factor. That factor usually runs 50% to 75%, and it stands in for your business costs. A lower factor means we count more of your deposits as income. Picture $20,000 a month in deposits with a 50% factor. That is $10,000 a month of qualifying income, far above a write-off-heavy tax return.
How long do I have to own the home first?
Most cash-out programs want six months of ownership before you can pull equity, and we call that seasoning. If you bought the home recently with cash, some programs let you recover that cash sooner under delayed financing rules. We check the seasoning clock early so there are no surprises near closing. When the timing is tight, Mike will tell you the exact date you qualify.
When a conventional cash-out is the better move
A bank statement loan is not always the cheaper choice. When your tax returns actually show solid net income, a conventional cash-out usually costs less than a NonQM loan at the same equity level. So we run the conventional math first. If it qualifies you for the cash you need, we use it. We only step up to a bank statement loan when it pulls more cash or fits a file that conventional rules turn away.
Want to know which path pulls the most cash for you? Mike can run both and lay the numbers side by side. Read more on the bank statement loans page, see the full no tax return mortgage overview, or browse all programs.
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Self-Employed Cash-Out Refinance — Frequently Asked Questions
Can I do a cash-out refinance without tax returns?
Yes. We do self-employed cash-out refinances in Arizona without tax returns. Instead of returns, we qualify your income with 12 to 24 months of bank statements, a 1099, a CPA-prepared profit and loss statement, or liquid assets. These are NonQM loans, so credit, equity, and reserves still apply, but you never hand us a tax return.
How much can I cash out on a bank statement refinance?
On a bank statement cash-out refinance we typically lend up to 80% of your home's appraised value. So on a $600,000 home with $200,000 owed, 80% is $480,000, which leaves about $280,000 of available cash before closing costs. Your final number depends on your credit, the appraisal, and your qualifying income.
Can self-employed borrowers get a cash-out refinance?
Yes. Self-employed borrowers are exactly who these programs are built for. We calculate your income from deposits, a 1099, a profit and loss statement, or assets instead of net income on a tax return. That means heavy write-offs do not have to shrink the cash you can pull. Most files need 12 to 24 months of self-employment in the same line of work.
What credit score do I need for a cash-out refinance?
We can start a self-employed cash-out refinance at a 620 credit score. A higher score usually means a higher allowed LTV and a smaller required reserve. Below 620 we look at the full picture, including your equity and your deposit history, before we tell you whether it works.