Self-employed

Home loans for self-employed borrowers

Being self-employed should not stop you buying a home, but lenders assess your income differently from a PAYG employee. Knowing what they look for, and choosing the right lender, makes a big difference to how much you can borrow.

Sole trader, company or trust

• Sole traders are usually assessed on the taxable income in their personal tax returns.
• Company and trust owners are assessed on the business financials as well as their personal returns. Wages, directors fees, distributions and retained profit can all count, depending on the lender.

Many lenders also add back certain expenses, such as depreciation, interest on loans being refinanced, and one-off costs. This is where the right lender can lift your borrowing power.

Documents lenders commonly ask for

• Personal tax returns and Notices of Assessment, often for the last two years
• Business financial statements and business tax returns for companies and trusts
• Your ABN and GST registration details
• Recent business activity statements and business bank statements in some cases

If your income has changed

A strong most recent year, a dip during a hard year or a new business structure can all be explained. Some lenders will use your most recent year on its own, others average two years. We match you with a lender whose policy fits your story.

Less than two years in business?

Some lenders will consider borrowers with a shorter trading history, particularly if you worked in the same industry before going out on your own. Expect them to ask about your previous employment and the outlook for the business.

Full doc and alternative documentation

Full doc loans use your tax returns and financials, and usually offer the widest choice of lenders and pricing. Alternative documentation loans can use business activity statements, business bank statements or an accountant's declaration when your tax returns are not up to date. They often come with a lower maximum borrowing amount and different pricing.

We work closely with your accountant so your figures are presented clearly to the lender.

How it works

1. We start with a call about your business, how you pay yourself and what you want to buy.
2. We review your tax returns, financials and Notices of Assessment, and talk to your accountant if anything needs explaining.
3. We compare lenders whose self-employed policy fits your structure and income history across our panel of over 90 lenders.
4. We lodge the application, deal with lender questions and keep you posted through to settlement.

Reviewed by Patrick Moore, Director, Loan Market Clayfield, November 2026. This is general information only and does not take into account your personal circumstances. Lender policy varies.