How to Get a CPA Letter for First-Page Bank Statements

The Quick Read: A CPA letter cannot stand in for the interior pages of a bank statement, so the first page alone will not carry a file. The letter is usually an expense-ratio document for self-employed borrowers on bank-statement income programs, and it travels with complete statements rather than replacing them. Here is what to know before you call your accountant:

• Underwriters want every page of every statement, including pages marked intentionally blank.
• A CPA letter typically states an expense ratio for a stated period, not proof of deposits.
• The letter mostly matters for business accounts; personal-account deposits rarely move the number.
• A letter can lower qualifying income if your real expenses run above the program default.
• Many CPAs decline lender-scripted wording, so plan to negotiate the language.

Lendmire is a broker that arranges financing through select lenders in its wholesale network. Its bank-statement loans are consumer mortgages offered in 16 states, and a borrower on that lane is reviewed on documented income under the applicable program, subject to lender guidelines. Eligibility, leverage, and terms vary by lender, borrower, and property.

What Is a CPA Letter, and What Is It Not?

A CPA letter in the bank-statement world is a signed statement from a CPA or other qualifying tax preparer. It certifies what share of a business’s revenue goes to overhead. Underwriting then uses that figure in place of the program’s default expense assumption.

That is all it does. It is not an audit. It is not an approval. It does not prove income by itself, and it does not vouch for deposits the CPA never reviewed.

Statements show what came in. The letter explains how much of it is overhead. Neither substitutes for the other.

Why Does the First Page Not Work?

Page one of a statement usually shows a summary: opening balance, closing balance, and totals. The interior pages show the transactions. Those transactions are what underwriters actually read.

Across the wholesale network, reviewers use the interior pages to source deposits, spot large unexplained transfers, and catch overdrafts or returned items. On an income program, they also average the deposits month by month. A summary page cannot support any of that.

Submitting only the first page, missing pages, or statements outside the date window will typically get a file suspended. The same goes for screenshots and partial downloads. Pull the full PDF from your bank’s portal, and keep any intentionally blank pages in the set.

Privacy is a real motive here. Some borrowers want to keep personal purchases out of view. The legitimate route is to submit complete statements and, where a lender permits, explain specific transactions in a short letter. A thinner statement set is not the route.

Which Letter Do You Actually Need?

It depends on the program. Most borrowers asking this question are self-employed and looking at a bank-statement loan. That is where the expense-ratio letter lives.

Under that structure, 12 months of business or personal statements are reviewed. Qualifying income comes from deposit averages, with lender-specific expense factors applied. A CPA letter can replace the default factor with the preparer’s figure. Programs differ on whether they accept one, who may sign, and how the figure is used. No universal formula exists.

On owner-occupied cash-out, a fixed expense ratio applies, and an accountant-prepared ratio brings it to 75% in the program structure select lenders use. The cash-out ceiling to remember is up to 80% LTV on an owner-occupied primary residence or second home, never the 90% purchase ceiling. Exact terms depend on the lender’s guidelines, property type, leverage, and a full review of the borrower’s file.

A DSCR loan is a different path. It qualifies primarily on property-level rental income covering the payment, subject to lender guidelines, so no expense letter applies. A DSCR file still verifies assets and reserves, which means complete statements matter there too. Lendmire’s complete DSCR loans guide covers that lane in full.

How Do You Get the Letter, Step by Step?

Start with the program, then the accountant. Going in that order saves a round of rewrites.

1. Confirm the program and whether a letter helps. Ask your loan officer whether the lender accepts a CPA expense letter, who may sign, and what period it must cover.

2. Check the account type. The letter mainly applies to business accounts. If deposits land in a personal account, it usually will not move the number.

3. Estimate the gap. If your actual expenses sit well below the program default, a letter may raise qualifying income. If they sit above it, the letter can work against you.

4. Ask your preparer. Provide the profit-and-loss statement or tax return for the period, and the statement months being analyzed.

5. Align the period. The letter should cover the same months as the statements. A letter dated for the wrong tax year or with misaligned months is a common reason for a reissue.

6. Submit the letter with the complete statement set. It supplements the statements. It never replaces them.

Lendmire’s article How to Use a CPA Letter to Lower the Expense Factor on Bank Statements goes deeper on when the lower number is worth chasing.

What Should the Letter Contain?

The letter typically identifies the preparer and credentials, names the business, states the exact expense ratio, and covers the same period as the statements. It carries a signature and date. Many also state that the letter is not an audit, review, or assurance engagement.

The usual method is simple. The CPA divides total operating expenses by gross income for the stated period and excludes owner draws. Lender programs vary on the exact wording they accept, so get the lender’s preferred language before the CPA drafts anything.

A short request to your accountant might read: please confirm the expense ratio for my business for the twelve months ending on the last statement date, calculated as operating expenses divided by gross revenue, excluding owner draws, on your letterhead with your license number. Keep it that plain.

Why Do Some CPAs Say No?

Liability. The Journal of Accountancy has covered how a lender-scripted comfort letter can shift liability to the CPA. The signer may be asked to attest without having been engaged to do so, for a third party with no contract with the preparer. A formal attestation engagement is allowed, but clients usually don’t want the added expense.

The CPAI guidance on third-party verification letters lists the risks CPAs weigh. They include professional-standards violations, client confidentiality under IRC §7216, and possible discipline by a state board of accountancy. Some firms refuse these requests outright in their engagement letters.

The Tax Adviser adds a further concern. A lender that relies on an inaccurate income assertion could argue the CPA attested to it. That is why many accountants will certify an expense ratio computed from your books but will not vouch for deposits or income.

If your CPA refuses, ask whether an engaged agreed-upon-procedures report would work. Or ask whether an enrolled agent or another qualifying preparer may sign, if the program permits. Both are program-dependent.

Where Does the General Rule Break?

Four edge cases come up often.

• Personal-account deposits. The letter typically does not change the result.
• Platform deposits. For Airbnb or Vrbo income, the choice is default expense factor versus letter, and neither path is automatically better.
• High-expense businesses. A letter can lower qualifying income. Run your own numbers first.
• The DSCR-only borrower. If rent covers the payment on the property, no expense letter is needed. There is no income calculation.

Lendmire’s article How to Write a CPA Letter for a Super Jumbo Bank Statement Loan covers the larger-balance version of this process.

What Does the Decision Look Like for an Investor?

A self-employed investor usually has two doors. One is a borrower-income program, where the letter matters. The other is a DSCR loan, where the property’s rent does the work and the letter does not apply.

For an owner-occupied purchase or rate-term refinance, bank-statement programs reach up to 90% LTV on a primary residence through select lenders, with stronger files earning the top of that range. Asset-depletion, which qualifies from liquid assets, runs to about 80% LTV on a primary residence. Loan sizes run roughly $125,000 to $3,500,000, with reserves commonly around six months of the housing payment. Investment-property cash-out tops out around 75% LTV. Investment purchase leverage on bank-statement documentation varies by lender.

Occupancy decides the disclosure regime. An owner-occupied file is a consumer mortgage, and TRID applies. A bank-statement loan on a non-owner-occupied rental, including a short-term rental, is business-purpose and exempt from TRID. Short-term rental rules can vary by city, county, HOA, and property type, so investors should confirm local rules before relying on projected rental income.

If the deal’s rent covers the payment, the DSCR route avoids the letter entirely. If you need borrower-income qualification, the letter is one tool, and complete statements are the foundation.

Key Terms Defined

Expense ratio: The share of gross business revenue that goes to operating costs.

Expense factor: The percentage a lender subtracts from deposits to estimate qualifying income.

Attestation: A CPA’s formal written assurance, which carries professional-standards obligations.

Agreed-upon procedures: A CPA engagement that reports specific findings without giving an opinion.

Enrolled agent: A federally licensed tax practitioner who may represent taxpayers before the IRS.

If you are self-employed and want to see how the numbers work, Lendmire can help you compare bank statement loan options based on your deposits, the property, credit profile, leverage, and your goals. Reach the team at 828-256-2183.

Tax treatment varies; consult a qualified professional before relying on any deduction.

About Lendmire

Lendmire, NMLS# 2371349, is a non-QM mortgage broker serving real estate investors in 41 markets, including Washington, D.C., through DSCR investor loan programs. Qualification is generally reviewed around the subject property’s rental income, not the borrower’s W-2 history, a practical fit for LLC-titled portfolios and self-employed investors. All scenarios remain subject to lender review and program guidelines. Two consecutive Scotsman Guide Top Mortgage Workplace recognitions (2025, 2026).

References

1. Journal of Accountancy

2. CPAI Third Party Verification Letters

3. The Tax Adviser