Low Doc Loans

For home loan hunters who may be self-employed, freelancers, contract workers or undertake seasonal work, you may not have all the documentation usually required for a mortgage.
Loans up to 85% of property value
Irregular income acceptable
Alternative verification options

What Is a Low/No Documentation Loan?

A low/no documentation loan allows a borrower to apply for a mortgage with little or no information about their work, income, or assets. Although the rules governing these loans have changed dramatically, they remain a viable choice for some borrowers in atypical financial situations.

How a Low/No Documentation Loan Works

Borrowers who seek out these products are more likely to have atypical income streams, which can be harder to establish in a traditional mortgage application. Alternative investments or self-employment arrangements that allow the borrower to decrease income reporting for tax purposes are examples. Lenders looking at these loans are more likely to look at the applicant's credit score, ability to make a larger-than-average down payment, and atypical paperwork such as bank statements. The interest rates on these loans are typically higher than those on standard mortgages.

Benefits of low doc loans

Home loan for the self-employed
When you're putting money down to buy a house, the loan application procedure might be a pain. Low-doc loans are intended to assist customers who have current equity or a deposit but lack access to the financial statements and tax returns required for a standard house loan. A low-doc loan, on the other hand, allows you to apply for financing without the usual red tape.

As with any big financial decision, examine the benefits and drawbacks to see if this is the best option for you.
Less paperwork
Although the application process is often simplified, you must still show that you have a consistent source of income.
You will just need to provide a letter from their accountant, a bank statement showing any business expenses, and a company activity statement (BAS).
Savings interest is taxable, but because your offset account balance is used to reduce your loan interest, no tax is payable, so you are effectively reducing your tax bill.

What documentation is required for a low doc loan?

While you do not need to provide all of the normal documentation as you would for a standard home loan, some documents are still required by MortgageBiz. These are some of them:
Self-verification via income declaration form
Your ABN and/or registered business name
Recent business activity statements (BAS)
Bank statements
GST registration details
Letter from accountant clarifying your financial position

Our Loan Process

MortgageBiz.com.au makes applying for loans simple so you can stop worrying about the documentation much. 
1. Apply online
Our loan application process is entirely online via our innovative web app.
2. Talk to a lending specialist
Talk to a loans.com.au lending specialist in our Australian-based call centre
3. Goodbye paperwork!
Upload your documents and track your progress in app
4. Quick pay out
Upload your documents and track your progress in app
5. Smart Money
Access your new account via Online Services

Get started

Apply online or speak to one of our Australian based loan specialists who will take care of all the paperwork for you. Applying is easy and we can settle your loan quickly so you start saving sooner. With mortgagebiz.com.au you can have confidence in dealing with Australia's largest non-bank lender.
How much can I borrow?
It takes less than 3 minutes to calculate your borrowing power!
Ready to apply or want pre-approval?
Give us a call on 1300 740 032 or start an online application.
What are the main differences between a low doc and full doc home loan?

The main differences between a low documentation home loan and a standard home loan application can include:

  • Low-doc applicants will be required to put down a larger payment. Lower LVR means you could only be able to borrow up to 80% of your home's value, which means a larger down payment.
  • Depending on the lender, a higher interest rate may be charged.
  • In contrast to a conventional house loan application, no corporate financial data or tax returns are required.
  • With low-doc choices, some lenders will limit the postcodes you can buy in.


Who are low doc loans for?

This form of home loan is ideal for applicants who have a mix of assets and income but can't offer standard documentation like tax returns or bank statements.

Low-doc loans are also appropriate in cases where tax returns have not yet been completed or are out of date, and substitute paperwork (such as BAS statements) is provided as a better picture of current circumstances.

Self-employed, freelancers and investors who do not have regular employment where they are taxed on PAYG income are eligible for a low doc home loan.

Frequently Asked Questions

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Need some help?

Our experts will help you search, choose and settle your home loan online. Chat to one of our Home Loan Specialists at a time that suits you.