Self-employed loans | Mortgage Broker in Kellyville, The Ponds, Bella Vista
Start your home loan journey today
Does being self-employed affect securing a home loan?
When assessing a home loan application, lenders take into consideration a few important factors of every applicant, such as their deposit amount, their income, savings records, and so on. Importantly, lenders assess the security of an applicant's income. While being self-employed comes with the benefits of being your own boss and setting your own hours, it does come with the downside of a lack of security typically found in the traditional workforce.
As such, getting approved for a traditional home loan while self-employed can be more difficult than usual.
Fortunately, mortgage brokers like Dinesh are able to navigate the process of applying for loans while self-employed easily, and are even able to secure loans that you may not think were possible to begin with.
If you’re ready to secure your next loan, reach out to Dinesh Bhardwaj, Mortgage Choice’s broker for Kellyville, The Ponds, and Bella Vista today - 0421 822 843.
What loan options are available when self-employed?
One of the most common issues self-employed borrowers face is providing sufficient documentation for proof of income. This is because when being self-employed, income isn’t always documented in traditional payslips on our accounting software, due to the convenience of simply working for yourself. As such, it becomes very difficult for lenders to determine the major factors of loans, such as your borrowing power.
Luckily, there are alternatives designed with these issues in mind.
A low documentation (low doc) loan is a loan type that is designed to accommodate borrowers whose documentation situation doesn’t fit the norm. Although the name may imply otherwise, a low doc loan isn’t a pathway that allows for less documentation for approval; rather, it allows for alternative documentation to be utilised.
Although the flexibility of a low doc loan is far greater than traditional loans, they do tend to come with higher interest rates and an alternative loan structure, due to the perceived risk from lenders.
If you’re curious as to how a low doc loan may benefit you, reach out to your local mortgage broker for Kellyville, Dinesh Bhardwaj, today on 0421 822 843.
Dinesh is also suited to assist with:
