ROVO Finance helps contractors, sole traders, and small business owners navigate the home loan process — with clarity, strategy, and lender-ready documentation.
Whether you’re an IT contractor, plumber, carpenter, or creative freelancer, being self-employed offers freedom — but it can also make securing a home loan more complex. Lenders often view non-salaried applicants as higher risk, which means more paperwork, stricter scrutiny, and a need for proactive financial planning.
Why Is It Harder for Self-Employed Borrowers?
- Income can fluctuate month-to-month or seasonally
- No standard pay slips — lenders require deeper financial records
- Business expenses may reduce taxable income, affecting borrowing power
- Some lenders apply stricter serviceability criteria for sole traders
What Documents Do You Need?
- Two years of personal and business tax returns
- ATO Notices of Assessment
- Profit & Loss statements and balance sheets
- Business Activity Statements (BAS)
- Bank statements showing consistent income flow
Preparing Your Application as a Self-Employed Borrower
- Separate personal and business finances
- Work with an accountant to understand your financials
Loan Options for Self-Employed Borrowers
- Full Doc Loans: Standard loans requiring full financial documentation
- Low Doc Loans: For borrowers with limited paperwork — may require higher deposit or interest rate
- Alt Doc Loans: Use alternative income verification like BAS or accountant letters
Common Challenges by Profession
- IT Contractors: May have short-term contracts or gaps between gigs
- Plumbers & Carpenters: Seasonal income and cash-based work can complicate records
- Freelancers: Multiple income sources may confuse lenders without clear documentation
Ready to take the leap into home ownership? ROVO Finance can guide you through the Self-Employed loan application process, and help you compare lenders.
