How Self-Employed Borrowers Can Get a Home Loan Without Tax Returns

Are you self-employed and looking to buy a home on Sydney's Northern Beaches? 🏡 But there's just one problem — your tax returns aren't done yet. Don't worry! You can still apply for a home loan without them.

As a trusted Northern Beaches mortgage broker, I often help self-employed clients navigate the lending process using their BAS statements instead of tax returns. Here's how it works and how we can help you secure the financing you need.

How Lenders Assess Your Income Without Tax Returns

If your tax returns are not yet lodged, lenders can calculate your income using your last four Business Activity Statements (BAS). This method is a great alternative for business owners who need a loan but haven't finalized their financials yet.

Let's break down an example to see how it's done:

Example Calculation:

• Total Sales (G1): $582,533

• Less GST on Sales (1A): -$52,967

• Less Expenses (GST on Purchases 1B x 10): -$335,950

• Less Wages (W1): -$54,292

BAS Profit Over 4 Quarters: $131,180

This calculated profit is what lenders use to assess your borrowing power and determine your eligibility for a loan.

Why Use a BAS-Based Loan Assessment?

Using BAS statements allows you to:

• Apply for a home loan without waiting for your accountant to lodge your tax returns.

• Present a clear picture of your income based on actual business activity.

• Potentially access competitive loan options tailored for self-employed individuals.

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How a Northern Beaches Mortgage Broker Can Help

Navigating the mortgage process as a self-employed borrower can be challenging, but having an expert by your side makes all the difference. As a local Northern Beaches mortgage broker, I can:

• Assess your unique financial situation.

• Help you gather the right documentation, including BAS statements.

• Connect you with lenders who specialize in self-employed home loans.

• Guide you through the entire process, ensuring a stress-free experience.

Ready to Take the Next Step?

If you're self-employed and ready to purchase your dream home, don't let missing tax returns hold you back. Reach out today and let's explore your options!