Low Doc Home Loans

Low Doc Home Loans

Low Doc Home Loans are designed for self-employed borrowers who are not able to submit conventional documents to verify their sources of income. These are sometimes incorrectly described as ‘No Doc Home Loans’, which are no longer available in Australia. It can be difficult for borrowers to get approval for Low Doc Loans, so it’s often best to work with a mortgage broker who understands credit policy and document requirements of different Low Doc lenders.. How Do You Qualify for a Low Doc Home Loan The primary reason to use a low doc home loan is because you don’t have the conventional documents such as pay slips to prove your actual income. For instance:

Our team of Your business may have complicated structure You have not yet updated your tax returnsmortgage brokers will help you compare the most suitable first home buyer loans based on your preferences and needs.
Your income may have increased since your last filing of your tax return Your assets have been depreciated, which cannot be qualified as actual expense
You have distributed your income to your family members from your trust Low Doc Home Loan Requirements

Most banks and lenders see self-employed individuals as a higher risk, so they tend to follow stringent guidelines when evaluating their home loan applications. They usually require recent tax returns and assessments for yourself as well as the business. The process can be lengthy and the paperwork can really pile up.

Low Doc Loans however may be approved without tax returns, and the lender may instead rely on:

BAS returns
Profit and loss
Balance sheet
Bank statements
Contracts for services or goods sold by the business
A home loan broker from Express Mortgage Market can help establish your borrowing capacity