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Self Employed

Are you self-employed?  In the past, banks viewed self-employed borrowers as riskier because their income may not be as stable and they often don’t have the ability to provide the depth of information usually required to apply for a home loan. Times have changed though and banks are becoming more accepting of self-employed borrowers.   The most common issue for self-employed applicants is that their accountants are too good at reducing their taxable income, which is great at tax time, however can come back to bite you when it comes to applying for a loan. Lenders and of course brokers are under pressure to ensure an applicant is able to meet the required servicing requirements.

TSC Mortgage Brokers mortgage broker top tip if you are self employed

  1. Do your research! Speak to a mortgage broker well before you make any major financial purchases as there are a lot of different things to consider that may adversely affect your home loan application, particularly when you’re self-employed.  Understanding important things such as:
    1. How different lenders might calculate your income – yes they ALL use different methods to interpret what they believe you are earning.
    2. Add backs – some expenses are ‘one-offs’ and may be added back, which can increase your assessable income. All lenders are different, but these add backs might include depreciation or additional superannuation contributions, for example.
    3. How the lenders view your self-employment history if it’s under a year, or between one or two years.  Having access to over 30 lenders gives us the power and knowledge to choose a lender that is going to suit your needs.

Self Employed and need a Mortgage?

    How much can I borrow?

    Your borrowing capacity can rarely be devised by asking a few questions.
    Enquire below and we will contact you to look at your individual situation.

    About You (to help get us started)

    Are you looking to:
    PurchaseRefinanceConstructSub divide

    Do you have any existing home or investment property loans?

    Are you concerned that rates may rise in the next 12 months?

    If you have a loan, have you reviewed your rates or home loan package in the past 12 months?

    With your existing loan, is it with a major bank?

    I need finance nowI need finance in the future, but there is no urgency