If you’re self-employed (we know there’s a lot of you!), you may have found it difficult to get a traditional mortgage. Don’t despair. There is a loan called Low Doc Home Loan that has been designed specifically for you!
Let’s explore exactly what it is.
Dissecting the dilemma of the self-employed.
When you are self-employed, the goal of your accountant is to often minimise your taxable income, which is a good thing most of the time. Unfortunately, when it comes to lending, it creates problems when you try to borrow as your books don’t accurately reflect your ability to service a loan.
Meet the Low Doc Home Loan.
As stated above, if you are self-employed, you often can’t satisfy traditional lending criteria but can be perfectly capable of servicing a loan. As a consequence, the low doc or lo doc loan was born. Low doc loans don’t require the same level of “documentation” as normal loans. If you have difficulty documenting your financial position with regular pay slips, tax returns or business financials etc, a low doc mortgage could be a good solution.
When to consider a Low DocHome Loan.
Low doc loans are available through your mortgage broker, banks and non bank lenders. Even with a lo doc loan, only borrow through someone you can trust and make sure you are educated and informed on what it means for you.
At Pointer Finance, this is one of our specialties. If you are self employed and looking to get into the property market, we’d love to talk you through the process and be there for you every step of the way. Contact us