Royalties, residuals, tour income and contracts that pay in bursts: lenders struggle with income like your clients’. I know which programs and lenders read it fairly, and I keep everything discreet.
How I help your clients
- Irregular income, read fairly. Royalties, residuals, 1099 and contract income, usually on a two-year history.
- Loan-out companies. Income paid through your client’s company, treated and documented as self-employed income.
- Other ways to qualify when history is short or uneven: bank statement and asset-based programs.
- Clients based abroad, through foreign national programs.
- Discretion, with documents through you or the business manager.
Situations I see often
- An artist’s best year was last year, after two slower ones.
- A client is paid through a loan-out corporation and the lender wants W-2s.
- A client based abroad wants a home in Los Angeles.
- A buyer needs to move fast between projects or tour dates.
Programs and tools
- Self-employed loans
- Foreign national & ITIN loans
- Jumbo loans
- Condo financing
- Bank statement income calculator
Questions
Can my client qualify with irregular income?
Usually, on a two-year history of the income, or on bank statements or assets when that fits better. See also: Bank statement income calculator.
What about a loan-out company?
Income paid through a loan-out corporation is treated as self-employed income; the lender reviews returns or bank statements for the company and your client.
Can an artist based abroad buy here?
Yes. Foreign national programs lend without U.S. credit history, usually with a larger down payment and reserves.
