Your income is complex.
Your loan shouldn't be.

Yes. Lenders approve self-employed borrowers every day. The main difference is documentation: most lenders want to see two years of tax returns and financial statements so they can verify your income independently. If you've been in business less than two years, or your paperwork is light, low doc and alt doc options exist with certain lenders. The rates are competitive, and the process isn't as hard as people expect once your application is packaged properly.

Most lenders want a minimum of two years with an ABN and matching tax returns. Some will consider one year if your industry experience is strong and your financials are clean. A handful of specialist lenders will look at six months of BAS statements for low doc applications, though you'll typically pay a slightly higher rate and need a larger deposit. The key factor is consistency: lenders want to see that your income is sustainable, not just a good quarter.

A low doc loan is designed for borrowers who can't provide the standard two years of tax returns and financial statements. Instead, you verify your income through alternative documents like BAS statements, an accountant's declaration, or business bank statements. To qualify, you generally need an ABN registered for at least 12 months, a clean credit history, and a deposit of 20% or more. Rates are usually 0.5% to 1% higher than full doc loans, but for borrowers whose tax returns understate their actual earnings, the higher borrowing capacity often more than compensates.

It varies significantly between lenders, which is exactly why broker access matters. The standard approach takes your net profit from two years of tax returns and averages it. Some lenders add back depreciation, interest, and one-off expenses to get a truer picture of your cash flow. Others assess gross revenue with standard industry deductions applied, which can dramatically increase your borrowing capacity. A few specialist lenders focus on your asset position rather than income at all. We work through each method to find which one puts you in the strongest position.

Yes, but only with certain lenders and typically under a low doc or alt doc product. Lenders who accept BAS statements usually want to see the most recent four to six quarters, and they'll use your GST turnover to estimate income. The trade-off: BAS-based assessments usually require a minimum 20% deposit and come with a small rate premium. If your tax returns are up to date and reflect your income fairly, full doc is almost always the better path. BAS-based lending is most useful when your returns are behind or when tax minimisation has pushed your net income well below your actual cash flow.

For a full doc loan at the best rates, yes. Two years of personal tax returns, ATO Notices of Assessment, and business financials (profit and loss, balance sheet) is the standard requirement. But it's not the only path. Some lenders accept one year of financials if your overall profile is strong. Low doc products can work with six to twelve months of BAS statements or bank statements. The less documentation you provide, the more deposit you'll typically need and the higher the rate, so it's a trade-off between speed and cost.

With full documentation (two years of tax returns and financials), self-employed borrowers can access up to 95% LVR with select lenders, the same as PAYG applicants. You'll pay lenders mortgage insurance above 80% LVR, just like anyone else. For low doc applications, most lenders cap at 80% LVR, and some go as low as 60% depending on the documentation provided. The stronger your documentation, the higher the LVR you can access. That's why getting your paperwork right before you apply makes a real difference to the deposit you need.

Add-backs let lenders look beyond your taxable income to assess your true earning capacity. Common add-backs include depreciation, one-off expenses, interest on business debt, and sometimes director superannuation contributions. For example, if your tax return shows $120,000 net profit but includes $40,000 in depreciation and $15,000 in one-off fit-out costs, some lenders will assess your income at $175,000. Not all lenders apply add-backs the same way, and some don't offer them at all. The right lender choice here can mean hundreds of thousands of dollars difference in borrowing capacity.

Often, yes. If you're on a fixed-term contract and can provide your contract agreement, recent payslips, and a letter from your employer or agency, many lenders will treat you as a PAYG borrower. This gives you access to the same rates and LVR tiers. The catch: your contract usually needs to have at least six months remaining, or you need a history of contract renewals in the same industry. IT contractors, medical professionals, and trades contractors with ongoing engagements typically qualify. We know which lenders have the most favourable contractor policies.

Full doc is the standard path: two years of tax returns, ATO assessments, and business financials. You get the best rates and highest LVR. Low doc replaces some of that with self-declared income supported by BAS statements or an accountant's letter. You'll need a bigger deposit (usually 20%+) and pay a slightly higher rate. Alt doc sits in between. It uses alternative verification like 12 months of business bank statements, a CPA declaration, or a combination of lighter documents. Each step away from full doc trades rate for flexibility. The right choice depends on what paperwork you have and how quickly you need to move.

Not necessarily. With full documentation, self-employed borrowers access exactly the same rate cards as PAYG applicants. There's no "self-employed loading" on a full doc loan. The rate premium only kicks in with low doc or alt doc products, and even then it's typically 0.3% to 1% above standard variable rates. Some borrowers assume they'll be penalised for being self-employed and don't bother applying through the full doc channel. That's a mistake. If your tax returns are up to date, start with full doc. You might be surprised at how competitive the rates are.

An accountant's letter (sometimes called a declaration or verification letter) confirms your business income to the lender. For low doc applications, it's often a core document. Your accountant declares your current year's income, confirms the business is trading, and sometimes provides a two-year income history. For full doc applications, an accountant's letter can supplement your tax returns by explaining one-off items, confirming add-back calculations, or clarifying complex trust distributions. We'll brief your accountant on exactly what the lender needs so the letter lands right the first time.