Self-employed, sole traders and contractors
Low doc home loans for self-employed people in Melbourne
A low doc home loan lets you prove your income without the usual two years of tax returns. The lenders that offer them accept business activity statements (BAS), business bank statements or a letter from your accountant instead. Many big banks do not offer low doc loans, so the lender you apply to matters. We compare 35+ lenders and tell you which ones would accept your paperwork before anything is lodged.
How low doc works
Less paperwork, but the lender still checks your income
Most lenders assess self-employed people on their last two years of tax returns and financial statements. That does not suit everyone. Your latest return may not be lodged yet, your business may be under two years old, or your income may have grown since your last return.
Low doc lenders, also called alt doc lenders, accept other proof. The common options are six to twelve months of BAS, three to six months of business bank statements, or a letter from your accountant. You also sign a declaration of your income. The lender still has to check that you can afford the loan. The old loans where nobody checked your income no longer exist.
There is a cost. Low doc loans usually have higher interest rates and fees than standard loans, and most lenders want a bigger deposit. Many people use one to buy now, then refinance to a standard loan once they have two years of tax returns. We set the loan up with that in mind.
- We match your ABN history and your paperwork to the lenders that accept them
- If you would qualify for a standard loan on one year of tax returns, we tell you, because it usually costs less
- We lodge nothing until you have chosen a lender, so there is no credit enquiry while we compare
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Twenty years inside Australian banking, including senior roles at ANZ, before starting Exceed Finance. Plain answers, no pressure.
The numbers that matter
At a glance
General information only. Lender policies change and your full situation has to be assessed before any lender will confirm what they will do. Our service is free to you on residential home loans and everything is disclosed in writing.
Who this usually suits
The situations we see most often
Tax returns not lodged yet
Your business is doing well but your latest return is not done. BAS or business bank statements can show your current income instead.
ABN under two years old
Some lenders accept an ABN that has been active for six or twelve months. Others need two years. We check which lenders would accept yours.
Income has grown since your last return
A tax return shows last year's income. If this year is stronger, recent BAS or bank statements may support a higher loan amount.
Refinancing a low doc loan
You took a low doc loan to buy, and you now have two years of tax returns. We check whether you can move to a standard loan.
Where our clients are
Across Melbourne, and Australia-wide
We are based in Dandenong South and a lot of our clients are across Melbourne's south-east, but everything can be done by phone, video and secure upload, so we help clients anywhere in Australia.
Other situations we write about:
Simple from start to finish
How it works
Free chat
We work out your goals and what you can actually borrow.
We compare
We search 35+ lenders and shortlist the ones whose policy fits your situation.
We apply
We package and submit your application, and chase it for you.
Settlement
We see it through to approval, and stay in touch afterwards.
Common questions
Questions we get asked a lot
What documents do I need for a low doc home loan?
It depends on the lender. Most ask for a signed declaration of your income plus one of these: six to twelve months of BAS, three to six months of business bank statements, or a letter from your accountant. You also need an ABN, and some lenders need you to be registered for GST. We tell you exactly what to gather for the lender that suits you.
How long do I need to have had my ABN?
Lenders differ. Some accept six months, some twelve, and some need two years. The rules on GST registration differ too. If your ABN is new, tell us the date it started and we will check which lenders would consider it.
How much deposit do I need for a low doc loan?
Most low doc lenders lend up to 80 percent of the property value, so you need a 20 percent deposit plus costs. A few lend more than that, usually with a risk fee or a higher rate. With full tax returns you may be able to borrow more, so we check both options.
Are low doc loans more expensive?
Usually, yes. Rates and fees are generally higher than on a standard loan because the lender has less paperwork to rely on. How much higher depends on the lender, your deposit and your credit history. We show you the costs in writing before you decide.
I owe money to the ATO. Can I still get a home loan?
Sometimes. Some lenders will not accept an application where there is a tax debt. Others will, and some allow the debt to be paid out as part of the loan. Tell us the amount and we will check your options.
Do you charge for this?
Our service is free to you on residential home loans. Everything is disclosed in writing before you commit to anything, and as a licensed credit representative we operate under Best Interests Duty, which legally requires us to act in your interests rather than our own.
Will talking to you affect my credit score?
No. A conversation with us, and the work we do comparing lenders, involves no credit check. A credit enquiry only happens when an actual application is lodged with a lender, and we do not lodge anything until you have chosen to go ahead. The point of doing the work first is so that the application that does go in is the right one.
Book a Free Chat about your low doc options
Tell us how long you have had your ABN and what paperwork you have. We will tell you which lenders would look at it and what you could borrow. It is free to you and you do not have to go ahead with anything.