Self employed home loans:
Did you know there are over 2 million SME’s (Small to Medium businesses) in Australia accounting for up to 97% of the entire Australian workforce?
We truly believe it’s these small businesses that are the backbone and driving force in our economy!
One of the largest deterrents for small business owners in borrowing or refinancing is that they are extremely time poor plus they believe that it’s difficult to facilitate.
We have a dedicated team of expert brokers who have a huge range of solutions for self-employed applicants.
How much can I borrow?
- Borrow up to 90% of the property value with atleast 1 years full financials completed
- Borrow up to 80% of the property value with 1 years financials OR 12 months BAS
- Borrow up to 70% of the property with a minimum 6 months BAS/bank statements or Accountant’s Declaration
Conditions apply to each of the above which we can quickly assess once we’ve discussed your situation with you.
As a rule of thumb the more equity you have in your property the easier and lesser the requirements will be!
Will I get approved?
- You’ll generally need to be taking a wage/salary from your business or have some levels of net profit
- You need a clear credit file and a perfect repayment history.
- Location restrictions apply (banks prefer capital cities, major towns or regional centres).
- Banks prefer standard property types like residential houses, townhouses, units or vacant land.
- You won’t be eligible for finance if your business is less than 6 months old (ABN under 6 months)
- You will generally need to have your business taxes paid (clear ATO portals) – if this isn’t the case let us know upfront (as there are solutions to this)
Interest rate from:
2.19% | 2.38%* p.a (Comparison Rate)
We have many lender solutions available from major lenders to specialist and private lending solutions.
Discover if you qualify:
We can help you with a self-employed finance application anywhere in Australia
Is it harder to get approved being self employed?
It’s not necessarily harder, but does require additional documentation in order for us to assess your entire situation.
We like to get the whole picture on your situation and to make this easier on you we generally will request permission to ask for all the documents we need from your Accountant all in one go.
This way, we can easily see your entire business financials and can map out a lending strategy for you upfront.
Once we’ve assessed your financials and situation:
Securing your an approval will generally take slightly longer than your standard PAYG applicants (it may take up to 5 days rather than a standard 2 or 3 day turnaround time) and there are two general reasons why:
Banks will only allow a senior credit assessor to review self-employed applications (as they are more complex in nature) and therefore with less staff equipped to look at your application it will take a little longer
The credit assessor needs to spend additional time looking at alot more documentation to under you, the application & your business. They need to look at your income, expenses, net profit, shareholding, current and non-current liabilities, tax debts and much more!
This is where we excel, the outcome of a self employed application is often based solely on the quality of the submission by your broker. It needs to cover all risks and mitigants and needs to provide comfort to the assessor as to the merits of your application!
What documents are needed for an approval?
Authority to liaise with your Accountant:
- This is the easiest & most efficient method
- We will request all financial requirements from your Accountant (you’ll be copied into all communication)
- If we have any questions we can ask your Accountant directly for clarification
If you’re self employed and are looking for a quality Accountant please let us know! We have a number of leading Accounting partners we can refer you to
Supporting Documents – Financials
- You can review our requirements in our Supporting Documents checklist
- Refer to the self employed section for the specific requirements
This is ta general guide only. If you aren’t able to fully verify your financials from the above let us know and we can send you the Low Doc requirements.
Express Self employed loan solutions
We’ve secured what we call an Express self-employed loan solution!
If you are borrowing or refinancing at a lower loan to value ratio (60% or under) and can provide 12 months BAS portals then it’s likely this is all that we’ll need!
The benefits here are that it’s a solution with a major lender and secures full doc rates (yes that’s right, you will secure the sharpest interest rates for this type of application).
Option 1: Finance at 60% or less of property value
- We can generally complete an electronic valuation of your property (no inspection required)
- You’ll need to provide 4x consecutive BAS quarters and declare a percentage of this turnover as income
- If this income declared can service the debt, then you qualify for this application (no other financials needed)
- You’ll need a clear credit file
Option 2: Finance up to 90% of the property value with 1 x year financials (only)
- Finance up to 90% of the property value
- Provide only 1 full financial year of financials and tax returns (not 2 years like most lenders)
- We can assess your eligibility on just this!
What other finance can we assist with for your business?
We aren’t just home loan brokers.
We are business and commercial lending experts and can also assist you with the following:
Commercial asset finance:
- Purchase up to $150,000 for commercial vehicles, trucks, wheeled equipment for your business
- Any asset purchase for business use – up to 10 years old
- Fitout finance, plant and equipment
We can tailor your lending solutions around setting up the correct lending relationships for you based on your businesses needs.
Commercial property purchase:
We are commonly assisting businesses with the purchase of the premises they have been renting long-term or a new site they wish to acquire for their business. We have tailored solutions for this very purpose which include:
- Major and Tier 2 lender solutions depending on loan size and property metrics
- Lender solutions with application fees from 0.20% (saving up to 0.8% over major lenders or $8,000 saving on a $1 million commercial loan)
- Lender solutions with no annual reviews required (common in commercial lending) up to $3 million
- Loan terms up to 25 years with initial interest only terms available
If you’re self employed and need the right advice with securing finance please speak to us!
We’ll give you a thorough overview of your position and the most competitive options available to you in the market.
Complete a Free Assessment Form to get started with our team today.