People who have currently become self employed are often denied traditional home loans because they lack the paperwork to verify their income is substantial enough to pay off the loan. But now the self employed can get a low documentation loan meaning that they have to show as much proof of income as possible. These ‘lo doc loans’ can often have interest rates comparable to those home loans offered to established business people. At time, depending on the lender, the LVR may be slightly higher.

You will be eligible to apply for a low doc loan if you have the following:

  • An ABN (Australian Business Number)
  • Want to even borrow up to the max 80% of your property’s value
  • Depending on the loan amount and LVR, business trading statements and/or BAS statements may be required

For full document loans or for self-employed applicants, the following is required:

  • Business tax returns as an individual and for your business
  • Previous two years’ of your business’s financials like Profit and Loss Statements and Balance Sheets
  • An assessment notice from the Australian Taxation Office (ATO)