Self-Employed Refinancing
What Self-Employed Clients Say
Related Self-Employed Refinancing Topics
Self-Employed & Low Doc Home Loans
If you're self-employed, getting a home loan doesn't mean two years of perfect tax returns and full financials. Andy's been…
Self-Employed & Low Doc Home Loans →
Business Finance
Business Finance →Andy has worked with major banks and specialist lenders across Perth since 2000 — trusted by self-employed families who need someone who speaks both accountant and lender.
What Is Self-Employed Refinancing?
Self-employed refinancing is the process of switching your existing home loan to a new lender or product when you earn income through a business structure — sole trader, partnership, company, or trust. It requires demonstrating serviceability using business financials rather than payslips, which means tax returns, profit-and-loss statements, accountant declarations, and BAS summaries take the place of employer income verification.
Lenders assess self-employed income differently because it fluctuates and because many business owners legitimately minimise taxable profit to reduce their tax bill — which can make serviceability look weaker on paper than it is in reality. Some lenders average the last two years of taxable income; others will use accountant-certified profit-and-loss or accept declared income plus add-backs for depreciation and one-off expenses. A few specialist lenders offer low doc refinancing, which relies on an accountant’s declaration of income with limited supporting paperwork, typically at slightly higher interest rates and capped at 70–80% loan-to-value ratio.
In Mandurah and across Perth metro, around 18–22% of mortgage holders are self-employed (ATO small-business data 2023), and many haven’t reviewed their loan in 3–5 years because they assume the documentation burden is too hard. The reality: if your business has been operating for two full financial years and you can supply recent financials, refinancing is straightforward — you just need a broker who knows which lenders will assess your structure favourably and how to present the numbers so serviceability comes through clearly.
Why Self-Employed Borrowers Refinance
Lower Your Rate
If you took out your loan 3+ years ago or rolled off a fixed term onto your lender’s standard variable, you’re likely paying 0.5–1.2% more than current market rates. On a $450,000 mortgage that’s $2,200–$5,400 per year.
Release Equity
Tap into property growth to fund business expansion, a vehicle, renovations, or an investment deposit. Lenders will assess your capacity to service the higher loan using your business income.
Consolidate Debt
Roll business overdrafts, equipment finance, or credit cards into your home loan at a lower rate. Careful: only worth it if the total interest saved exceeds refinancing costs.
Switch to Better Features
Move to a loan with offset accounts, fee-free redraws, or split fixed-variable structures that suit how your business cashflow works.
How Self-Employed Refinancing Works with Andy
- Income Review — Andy reviews your last two years of tax returns, recent profit-and-loss, BAS statements, and business structure. He identifies which income figure each lender will use and whether add-backs (depreciation, one-off costs) improve serviceability.
- Lender Match — He matches your profile to lenders who assess self-employed favourably — some want two full ATO returns; others accept 12–18 months trading plus accountant declaration. Specialist lenders go low-doc at 70–80% LVR.
- Document Prep — Andy tells you exactly what to get from your accountant (declaration letter, interim financials, ABN registration proof) and checks every document before lodging so nothing holds up assessment.
- Application Lodgement — He lodges with the lender whose policy best fits your situation, then manages queries, valuation, and any serviceability clarifications directly with the credit team.
- Settlement — Once approved, Andy coordinates discharge from your old lender, settlement with the new lender, and confirms your first payment date. Typical timeline: 3–5 weeks from application to funding.
Full-Doc vs. Low-Doc Refinancing: What You Need
The table below shows what each pathway requires and when each suits a self-employed borrower.
| Requirement | Full-Doc Refinancing | Low-Doc Refinancing |
|---|---|---|
| Trading history | 2 full financial years lodged with ATO | 12–18 months minimum; some accept 6 months |
| Income evidence | Tax returns (NOAs), financial statements, BAS | Accountant declaration of income |
| Accountant requirement | Preferred but not always mandatory | Must be registered CPA or CA |
| Maximum LVR | 80–95% (with LMI) | 70–80% typically |
| Interest rate | Standard variable or fixed | +0.3–0.8% loading vs full-doc |
| Approval time | 7–14 days once lodged | 3–10 days (faster credit assessment) |
| Best for | Established businesses with clean returns | Recent start-ups, complex structures, tax minimisers |
Andy walks through both options in the first conversation so you know which pathway gives you the best rate for the equity you have*.
What Most Brokers Get Wrong about Self-Employed Refinancing
Most brokers tell self-employed clients to ‘wait until you lodge another year of tax returns’. That advice wastes 12–18 months and locks you into a rate that’s costing you $200–$400 per month more than you need to pay. If you’ve been trading two full years and your accountant will sign a declaration, we can structure an application today — sometimes using the most recent 12 months of BAS statements plus profit-and-loss to show consistent income, which several specialist lenders accept at 75–80% LVR even when the ATO return lags six months behind.
The second mistake: treating all lenders the same. A big-four bank might average your last two years of taxable income, which punishes you if you wrote off $40k in equipment depreciation last year. A specialist lender will add back non-cash deductions and assess on maintainable income — the actual cashflow your business generates. On a tradie in Baldivis earning $110k but showing $72k taxable after legitimate deductions, that’s the difference between a declined application and a $520k approval at 3.89%.
Third: assuming low-doc always means higher cost. Sometimes it does (rate loading 0.4–0.7%), but if your tax position is complex or you’ve only been trading 18 months, a low-doc approval at 80% LVR and 4.29% is cheaper than waiting another year on a 5.1% legacy rate. Andy runs both scenarios with real numbers so you see the breakeven before choosing a path.
What Self-Employed Refinancing Costs
Discharge fee from your current lender: $300–$450. Application fee on the new loan: $0–$600 (many lenders waive it). Valuation: $0–$400 (some lenders cover it; others charge upfront). Settlement fee: $200–$350. Conveyancing / legal: $800–$1,400 depending on your state and whether the title is standard or strata. Total typical cost for a straightforward Mandurah refinance: $1,500–$2,800.
If you’re moving to a low-doc product, expect application fees at the higher end ($400–$600) and sometimes a small LMI component if you’re above 75% LVR. Lenders Mortgage Insurance on low-doc loans starts around 76–80% LVR and scales with loan size; budget $2,000–$8,000 if applicable. Full-doc refinances under 80% LVR avoid LMI entirely.
Andy gets fee waivers where possible and structures the application to minimise LMI. On a $480k refinance dropping your rate from 5.2% to 4.1%, you save roughly $5,300 per year — the upfront cost pays back in 4–6 months.
Find Out What Rate You Qualify for Today
Andy reviews your business financials and matches you to lenders who assess self-employed income favourably — usually within one phone call.
Call Andy on 0408 191 209When Accountant Declarations Work (and When They Don't)
An accountant declaration is a letter from a registered CPA or Chartered Accountant certifying your income over the last 12–24 months. Lenders use it in place of full tax returns when you need faster approval or when your business structure makes taxable income misleading. Declarations state gross income, net profit, and sometimes include add-backs for depreciation or one-off costs.
When they work: You’ve been trading 12+ months, your accountant is registered, your business shows consistent revenue month-to-month, and you’re refinancing at 70–80% LVR. Ideal for tradies, contractors, small retailers, or consulting businesses where income is stable but tax returns lag behind real-time performance.
When they don’t: You’ve been trading less than 12 months, your accountant isn’t CPA/CA registered, your business has large seasonal swings (e.g. three months of the year you earn 70% of annual income), or you need to borrow above 80% LVR. In those cases, lenders want full ATO returns and verified BAS.
In Pinjarrah and Mandurah, Andy works with around 40–50 self-employed refinances per year. About 30% use accountant declarations because the client’s business is young, they’ve recently restructured (sole trader to company), or their taxable income doesn’t reflect true cashflow. The remainder go full-doc because two years of returns are already lodged and the borrowing amount or LVR requires it. Andy tells you which path fits your situation in the first conversation — no guessing.
Self-Employed Refinancing Questions
Most full-doc lenders require two full financial years lodged with the ATO. Low-doc lenders accept 12–18 months trading history with an accountant declaration. If you’ve been operating less than 12 months, refinancing is difficult but not impossible — Andy can explore options with specialist lenders who assess recent BAS trends and bank statements at higher rates and lower LVRs.
Yes. Many lenders will add back non-cash deductions like depreciation, amortisation, and one-off business expenses when calculating serviceability. For example, if your taxable income is $68k but you depreciated $25k in equipment, some lenders assess you on $93k. Low-doc lenders use your accountant’s declared income figure, which can be higher than taxable income. Andy structures the application to show maintainable income, not just the ATO number.
Full-doc pathway: last two years’ tax returns (full returns plus notices of assessment), business financial statements (profit & loss, balance sheet), last 12 months of BAS statements, ABN registration, business bank statements (3–6 months), and a letter from your accountant confirming trading status. Low-doc pathway: accountant declaration of income (on letterhead, signed by registered CPA/CA), ABN registration, 12 months of BAS summaries or recent financials, and proof of business trading (invoices, contracts). Andy gives you a checklist specific to the lender he’s recommending so you don’t gather unnecessary paperwork.
Not always, but it helps. For full-doc refinancing, you can lodge without an accountant if you’ve prepared and lodged your own tax returns — the lender just needs the ATO notices of assessment. For low-doc refinancing, you must use a registered accountant (CPA or Chartered Accountant) because the declaration is the primary income evidence. Even on full-doc, having an accountant prepare a supporting letter explaining add-backs or business structure can speed up credit assessment and reduce queries.
Serviceability is calculated on your assessable income (not gross revenue). Most lenders apply a haircut: they’ll use 80–100% of declared net profit after add-backs, depending on consistency and business type. As a rule of thumb, you can borrow 5–6 times your net annual income at current rates, subject to other debts and living expenses. For example, net income of $95k might support a loan of $475k–$570k depending on dependants, other commitments, and the lender’s policy. Andy runs a serviceability estimate before lodging so you know the borrowing ceiling upfront.
Low-doc uses an accountant declaration in place of full tax returns; the lender still verifies ABN, business age, and sometimes BAS. Alt-doc (alternative documentation) is broader — it can include bank-statement lending (lender analyses 12–24 months of business transaction history to infer income) or self-certification (you declare income with minimal third-party verification). Most Perth lenders use ‘low-doc’ and ‘alt-doc’ interchangeably; the real difference is how income is verified and the LVR cap (typically 70–80%). Andy clarifies which product each lender calls what, so you’re not confused by jargon.
Yes. Lenders assess company and trust structures using the entity’s financial statements and your share of profit (for trusts, the distribution you receive; for companies, dividends plus salary). You’ll need two years of company/trust financials, your personal tax returns showing the income you received, and evidence of your ownership stake. Some lenders are more comfortable with company structures than trusts; Andy knows which lenders handle discretionary trusts, unit trusts, and hybrid structures without extra loading or declines.
Full-doc: 3–5 weeks from application to settlement if all documents are ready upfront. Low-doc: sometimes faster (2–4 weeks) because credit assessment is simpler, but valuation and discharge timelines are the same. Delays usually come from missing documents (accountant letters taking a week to prepare, ATO portals timing out) or valuation scheduling in regional areas. Andy chases everything so you’re not waiting on hold with lenders or surveyors.
No. Refinancing a home loan is a personal credit inquiry against your name, not your ABN. It appears on your personal Equifax/Experian file as a credit application, the same as any home loan. Your business credit file (if you have business loans, trade credit, or equipment finance under the ABN) is separate and unaffected. The only overlap: if you’re consolidating business debt into the home loan, that business facility will be closed, which can improve your business credit utilisation but doesn’t harm your score.
Yes, as long as serviceability supports the higher loan and you stay within the lender’s LVR policy (usually 80% max for cash-out, sometimes 90% with LMI). The lender will ask what you’re using the funds for; ‘business working capital’ or ‘equipment purchase’ are acceptable purposes. Some lenders cap cash-out at $150k–$250k on residential refinances; above that they may require a business purpose declaration and assess under commercial lending policy. Andy structures it correctly so you don’t trigger commercial rates when you don’t need to.
Ready to Refinance? Let's Structure It Properly
Andy reviews your business financials, matches you to the right lender, and handles the application end-to-end. Most self-employed refinances settle within 4 weeks once documents are ready.
Book a Call with Andy
Reviewed by
Credit Representative & Mortgage Broker
The information on this page has been reviewed for accuracy by Andy Iriks, a Credit Representative & Mortgage Broker at Wanna Finance. It is general information only.
Why Self-Employed Borrowers Work with Andy
Andy’s been a mortgage broker in Mandurah since 2000 — two years after broking started in WA. He’s seen every business structure, every lender policy change, and every way the ATO and lenders disagree on what ‘income’ means. When you’re self-employed, you don’t want a broker reading from a checklist; you want someone who’s placed 300+ self-employed loans, knows which credit managers at which lenders will accept your accountant’s add-back schedule, and who’ll call you at 7pm when a query comes through from the underwriter. That’s Andy. He picks up the phone, he explains every document before you get it from your accountant, and he structures the application so your business financials work in your favour — not against you.