1099 loan programs are designed for independent contractors, self-employed borrowers, freelancers, consultants, commission-based professionals, and gig economy workers who receive income reported on IRS Form 1099 instead of traditional W-2 employment income. These programs help borrowers qualify for mortgage financing as an alternative income documentation method when tax returns may not accurately reflect their true earning ability due to business deductions and write-offs. 

Many programs typically require:

One to two years of consistent 1099 income history
Stable employment or self-employment history
Acceptable credit profile
Required cash reserves and down payment, depending on the loan program

Some lenders may also require the borrower to demonstrate a consistent relationship with the same employer, company, or line of work for at least two years.