When looking for a home loan, the biggest factor that lenders will look for is your ability to repay the loan. For those that are employed, this is proven with payslips. However, what if you’re self-employed? Will this make it more difficult to get a home loan?
If you are self-employed, your income has the tendency to fluctuate month to month and sometimes it is also difficult to provide up to date financial data. However, difficult does not mean impossible. A mortgage broker can help you determine what options are available to you.
Launch Finance has access to a large network of lenders and access to special offers and specialist loan products on the market that are most suitable for self employed individuals.
Different lenders will often have different requirements when it comes to loans for self-employed people. However, having your financials up to date and your business tax returns lodged on time will ensure a greater chance of success with your loan application.
What if you’ve only established your business recently and don’t have two years’ worth of financials? You have the option to take out what is called a low documentation or low-doc loan. As the name would suggest, this type of loan requires fewer documents when you make an application. If you are in this situation, speak to us today to see how we can help.
If you’re not ready yet to take out a home loan at this stage, then it is still worth preparing yourself for the future. To do this, keep your finances up to date and your tax returns on time. Set a budget and monitor your cashflow so you can set aside funds for your deposit.
If you are self-employed and would like to know more about your options for home loan approval, get in touch with us today.