Bank Statement Loans in Phoenix, Arizona

Pillar Mortgage Group, a Scottsdale mortgage broker, places bank statement loans for self-employed Phoenix buyers who qualify on 12 or 24 months of personal or business deposits instead of tax returns. Most borrowers put typically 10 to 20% down with credit around 620+, and the loan works for a primary home, second home or investment property.

Why Phoenix business owners get stuck

You built something real. Your accounts show it every month. Then a lender pulls your tax return, sees the net after write-offs, and tells you to come back with less house or more paperwork. That is the gap a bank statement loan closes.

It is a mortgage built for self-employed borrowers, and it looks at the cash that actually flows through your accounts. Pillar Mortgage Group is a broker, so we compare bank statement programs across lenders instead of forcing your file into one bank's box. See the full program on our Arizona bank statement loans page.

How bank statement income is calculated

A traditional loan starts with the net income on your tax return. That is the number after every write-off, and for a lot of business owners it is a fraction of what the business really produces. A bank statement loan starts somewhere else: the deposits that actually hit your account.

The lender averages your qualifying deposits across the statement period. Business and personal accounts can both be used depending on the program, and an expense factor is usually applied to business accounts to account for overhead (Pillar Mortgage Group, Bank Statement Loans). Here is the math in plain terms.

Worked example (hypothetical numbers)

• Statement period: 24 months of business bank statements.
• Total qualifying deposits: $480,000.
• Monthly deposit average: $480,000 divided by 24 = $20,000 a month.
• Expense factor: 50 percent. This is an example only. The real factor depends on the lender, the program and your type of business.
• Qualifying monthly income: $20,000 times 50 percent = $10,000 a month.

That $10,000 is the income the lender uses to measure what you can afford. Compare it with the net figure on your tax return and you will see why so many Phoenix owners land here after a bank told them no.

Phoenix by the numbers

Every figure below is cited with its source and date. The Freddie Mac rate is the national conventional benchmark, not a bank statement loan quote. Bank statement pricing is set by the lender and your file.

For scale only: at the 7.32% benchmark on a 30 year term, principal and interest on the $404,067 typical Phoenix home works out to about $2,221 a month with 20% down ($323,254 loan) and about $2,498 with 10% down ($363,660 loan). That is our math on the cited figures, not a quote. Taxes, insurance and HOA dues come on top, and a bank statement rate will differ from the benchmark.

Who it fits in Phoenix

• Business owners. Maricopa County counts 81,531 employer firms (Census QuickFacts, reference year 2023). Owners who reinvest and write off aggressively often show a tax return income far below what the business deposits.
• 1099 earners and solo operators. The county has 420,481 nonemployer businesses, meaning businesses with no paid employees (Census QuickFacts, Nonemployer Statistics 2024). Contractors, consultants, gig workers and freelancers live in this group.
• Realtors and commission earners. Agents and loan officers paid on commission see income swing month to month. A 12 or 24 month deposit average smooths those swings into one qualifying number.
• Renters ready to own. Phoenix has a 57.3% owner occupied rate (Census QuickFacts, ACS 2020 to 2024), so a lot of self-employed residents are still renting. Strong deposits can be the path from renting to owning.
• Investors. Bank statement loans work for investment property too, though terms vary by occupancy.

What to prepare

Show up organized and the file moves faster. Here is what to have ready before you apply:

• 12 or 24 months of statements. Every page, personal or business, for the accounts you want counted.
• A clear picture of your business. What you do, how you get paid, and how long you have been doing it.
• Notes on unusual deposits. Transfers between your own accounts, loans or one time sales may need a short explanation so they are not mistaken for income.
• Your down payment funds. Plan on typically 10 to 20% down, and keep those funds easy to document.
• Your credit. Around 620+ is the common starting point, and better scores tend to earn better terms.
• The property type. Primary home, second home or investment property in Phoenix. Terms vary by occupancy.

Still hunting for the right home? Browse current Phoenix listings at Arizona Luxury Property Search, then send us the address and we will tell you what your deposits support on that exact property.

Want the full picture of every self-employed option, not just bank statements? Read our guide to self-employed mortgages in Arizona.

Phoenix bank statement loan FAQ

Can I buy a home in Phoenix without tax returns if I am self-employed?

Yes. Pillar Mortgage Group places bank statement loans that qualify you on 12 or 24 months of personal or business bank statements instead of tax returns. They are built for self-employed borrowers, including business owners, 1099 earners and commission earners.

How is income calculated on a bank statement loan?

The lender averages your qualifying deposits across the statement period and usually applies an expense factor to business accounts for overhead. For example only, $480,000 in deposits over 24 months is a $20,000 monthly average, and a 50 percent example expense factor leaves $10,000 a month of qualifying income. The real factor depends on the lender and program.

How much down payment do I need for a bank statement loan in Phoenix?

Plan on typically 10 to 20 percent down, depending on credit and occupancy. A stronger credit score can move you toward the lower end.

What credit score do I need?

Many bank statement programs start around a 620 credit score, with better terms as the score rises.

Is the Freddie Mac rate what I will pay on a bank statement loan?

No. The Freddie Mac 30 year fixed average of 7.32% for the week of October 22, 2026 is a conventional benchmark, not a bank statement loan quote. Bank statement pricing depends on the lender, your credit, your down payment and the property.

Talk to Pillar Mortgage Group

Tell us how you get paid and we will show you what your deposits qualify for, side by side across lenders. Start your Phoenix bank statement scenario or learn more about Blake Hermann, Director of Lending.

Found a place you love on Arizona Luxury Property Search? Send it over and we will run the numbers before you write an offer.

Sources

1. Pillar Mortgage Group, Bank Statement Loans in Arizona (program facts, accessed October 22, 2026). https://pillarmortgagegroup.com/bank-statement-loans-arizona
2. Zillow, Phoenix, AZ Home Values (typical home value, data through September 30, 2026). https://www.zillow.com/home-values/40326/phoenix-az/
3. U.S. Census Bureau, QuickFacts, Phoenix city, Arizona (ACS 2020 to 2024 and July 1, 2025 population estimate, accessed October 22, 2026). https://www.census.gov/quickfacts/fact/table/phoenixcityarizona/PST045224
4. U.S. Census Bureau, QuickFacts, Maricopa County, Arizona (Nonemployer Statistics 2024 and employer firms 2023, accessed October 22, 2026). https://www.census.gov/quickfacts/fact/table/maricopacountyarizona/PST045224
5. Freddie Mac, Primary Mortgage Market Survey (30 year fixed average 7.32% as of October 22, 2026). https://www.freddiemac.com/pmms
6. Pillar Mortgage Group, Self-Employed Mortgages in Arizona. https://pillarmortgagegroup.com/post/self-employed-mortgage-arizona