Your 2025 Infographic Guide to Mastering Self-Employed Mortgages
The self-employed sector isn't a niche; it's a foundational pillar of the Australian economy. The data reveals a massive opportunity for brokers who specialize in this space.
Comprising 97% of all businesses in Australia.
Representing nearly a third of the nation's GDP.
The "gig economy" makes up 7.5% of all employed individuals.
Employed by the small business sector.
Non-employing businesses, primarily sole traders, form the largest single group within this landscape. These are the clients most likely to be misunderstood by traditional PAYG-focused lending systems, creating a service gap you can fill.
Major banks are adapting, but their policies are a complex matrix. Your value lies in knowing the nuances to find the best outcome for your client.
1-Year Game-Changer
Allows assessment on the most recent single financial year. A powerful tool for new or rapidly growing businesses.
Simple Income Stream
Ideal for established company directors paying themselves a consistent salary for at least 6 months.
The Shading Nuance
Accepts 1 year of financials, but applies a 20% shading on NPBT for LMI deals, impacting borrowing power.
Holistic Assessment
Uses latest year's income, but may average or cap it if growth is exceptionally high (>20%).
When standard financials aren't available, non-bank lenders provide crucial flexibility through alternative documentation. Mastering these pathways is key.
Use 6-12 months of lodged BAS to prove consistent business turnover.
A factual letter from a client's accountant verifying income from business records.
3-6 months of statements showing real-time cash flow and deposit consistency.
Success is about preparation and storytelling. Follow this simple process to build a bulletproof application.
Go beyond the form. Understand the client's business structure, seasonality, and the story behind their numbers. This context is crucial for your submission narrative.
Provide clients with a comprehensive checklist upfront. Incomplete applications are the #1 cause of delays. Ensure you have everything needed for a "one-touch" submission.
Write a compelling submission summary. Pre-empt assessor concerns and clearly explain income fluctuations. Meticulously verify every add-back (depreciation, one-off expenses, etc.) to maximize borrowing power.