Often self-employed borrowers will struggle to get finance from larger lenders, often having to resort to low doc loan options to get their mortgage approved. The reality is that self-employed clients require a lot more work and the more complex their business structure the harder it is for a bank to understand their financial situation.
That’s why an experienced mortgage broker is essential to get the best deal possible. We are experienced in interpreting your financial statements and presenting them clearly to a lender in a manner that best fulfills the lender’s policy.
At the end of the day lenders will always try to mitigate risk and as brokers it is our job to prove our clients are as low risk as possible.
What documents are required for a self-employed mortgage?
- 2 years financials (P&L and Balance Sheet). This illustrates the profitability of the business and demonstrates that you have been in business for at least 2 years.
- 2 years of tax returns, both personal and business
- 2 years Notice of Assessment from the ATO
- 6 months of bank statements
These are general requirements, if you can’t supply these documents for whatever reason then alternatives like Business Activity Statements (BAS) or accountants letters can suffice, depending on the lender.
What if I have been self employed for less than 2 years?
There are still options as long as you have at least one years financials for your business. We would need to examine what documentation you can provide and then decide on the lender who is the best fit.
If you’re concerned that your self-employed status is going to prevent you from getting a home loan then please give us a call on 0408 133808 and let’s discuss your options. With 30+ lenders and 100’s of mortgages to choose from we can nearly always find a lender that fits your situation.