Navigating the home loan application process can seem overwhelming.
But it may be particularly daunting if you are self-employed as lender scrutiny, particularly of your income, increases.
Traditional lenders (banks) tend to be more critical in their assessment of your ‘eligible income’, whereas non-bank lenders tend to take a more sensible approach to this.
Choosing the right lender for your situation becomes critical to getting your loan application approved (without losing more hair).
Low/alt-doc (alternative documentation) loans have become very popular and much less expensive in comparison to full-doc lending.
Many non-band lenders specialise in the self-employed market, so they understand and cater for the complexities of proving your income.
They are readily available and enable a great deal more people to enter/ invest in the property market.
The key is finding an experienced finance broker (who deals in this space regularly) to ensure you consider the options available and help you choose the most suitable solution based on your unique circumstances.
Surprisingly, the solution can often be providing less information than more, but to the right lender, structured in the right way.
Matt Punter, Director, Punters Finance and TSC Mortgage Brokers. www.puntersfinance.com.au and www.thesavingscentre.com.au
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