I am self-employed, and when I was applying for loans a few years ago, the broker needed everything from me. Not just tax returns, he also wanted bank statements, 401k statements, P&L, pee in a cup, and even all of my check stubs that I had luckily saved from all my clients’ payments. This was at the peak of the bubble, but the broker I was using knew what was coming and he actually did his due diligence. Luckily I didn’t buy (due in part to this board).
I’d imagine that it would be much more difficult for me to get a loan in today’s environment even despite the fact that I have a larger down payment and that my income has actually gone up and gotten more stable.
