8 Best Companies for Alt Doc and Low Doc Lending in Australia

Self-employed borrowers in Australia often get knocked back for a simple reason. The income is there, but the paperwork is not. Tax returns may still be with the accountant. The latest year can look weaker after write-offs. The ABN may also be newer than the work history behind it.

Alt doc and low doc loans are built for that gap. You still have to prove income. You just prove it with BAS, bank statements, or an accountant’s letter instead of two years of lodged returns.

The companies below are the ones that actually handle this work. Some are brokers. Some are lenders. Brokers help match the file to a policy. Lenders make the credit decision.

1. A specialist broker for self-employed files

Low Doc Loan Experts focus on self-employed borrowers rather than treating these loans as a side job. The team works from Sydney and Melbourne and is an authorised credit representative of Australian Finance Group. The service is free for the borrower because the lender pays the commission.

This broker is useful when the evidence is mixed. That might be BAS or bank feeds for an investment purchase. It might be cash flow instead of old tax returns for debt consolidation. Commercial loans are usually capped around 70% of the property value, which is tighter than a normal home loan.

Call 1300 781 680 if the file is messy and you want someone who already knows which lenders will look at it.

2. Home Loan Experts

Home Loan Experts is a national brokerage that handles a lot of non-standard lending, including low doc. Most lenders still want about 12 months of self-employment. Some will accept six months if you were in the same industry as an employee first. Better rates usually need two years.

Income is often checked with six to 12 months of BAS, business bank statements, or an accountant’s letter. Borrowing is commonly limited to 60% to 80% of the property value. Extra risk fees can apply above 70%.

This is a solid option if trading is strong but the tax returns are late. Phone 1300 889 743.

3. Hunter Galloway

Hunter Galloway is strong on lender policy. Two lenders can look at the same accounts and give very different borrowing limits. One may use the latest year. Another may average two years or cut the figure back.

That difference matters. Waiting for the next tax return can sometimes get you onto a cheaper full doc loan. If income has jumped, don’t assume every lender will use the higher year. Averaging can knock a large amount off what you can borrow.

They are also useful for comparing specialist names such as Pepper Money, Resimac, and Brighten.

4. Pepper Money

Pepper Money is a non-bank lender, not a broker. Alt doc can be considered with as little as six months of ABN and GST registration. Proof of income can include six months of business bank statements, six months of lodged BAS, or an accountant’s letter.

Published limits go up to 95% of the property value. Loan sizes can reach $5 million at 80% LVR, or $3 million at 95%. Refinancing ATO and business debt may also be possible.

A mortgage is still a loan secured against the property, even when income is checked in a different way. Full doc still gets the better rate. Use alt doc when the returns are not ready, not as the first choice. Approvals can move in a few business days if the statements are complete.

5. Liberty Financial

Liberty has been in specialist lending for a long time. Its low doc home loan is for self-employed borrowers who need another way to prove income. Borrowing can go to 85% of the purchase price and as high as $8 million, depending on the property and LVR.

Advertised rates for that product have been from 6.99% p.a., with a 7.26% comparison rate. Many loans also have a $295 annual fee, so look at the comparison rate, not just the headline.

Liberty suits people who have already been declined by a major bank and need a lender that will read the file.

6. Yard

Yard is a non-bank lender that treats self-employed income as normal. A valid ABN of at least six months can be enough to start. If tax returns are not ready, they can use an accountant’s letter, BAS, or bank statements.

Owner-occupied loans can go to 95% LVR, with lenders mortgage insurance above 80%. Investment loans are generally capped at 90%. Applications are assessed individually rather than on a blunt credit-score cut-off.

Low doc still costs more than full doc with Yard. If one year of financials is ready, ask them to price both options before you apply. Once an investment purchase is settled, presenting the property well still matters for resale, which is where home staging comes in.

7. Resimac

Resimac is a non-bank lender brokers use when a standard full doc assessment will not fit. Income can be checked through BAS, business bank statements, or accountant confirmation. Prime Alt Doc and Specialist tiers are the products that usually come up.

This is a second-step lender. Try a cheaper bank policy first if the documents will support it. Use Resimac when credit is a bit bruised or the paperwork is thin.

State Custodians are closed to new lending. Existing loans are serviced through the Resimac group, so there is no point lodging a new application there.

8. RedZed

RedZed is built around loans for people who run their own business. Its home loan book includes both full doc and low documentation mortgages, which is why it keeps appearing in this space.

You apply through a broker. Direct applications are limited. That is fine if the broker already knows RedZed’s rules on ABN age, LVR, and property type.

Use RedZed when the business is genuine, the statements support the income, and a major bank has already said no because the tax return is not lodged. Skip it if you are a PAYG borrower with clean financials. You would be paying for flexibility you do not need.

Rates, LVRs, and document rules change. Check the current credit guide before you sign. A low doc loan is also not meant to be forever. Once two years of returns are in, look at refinancing onto a standard product if the numbers work. If you are selling as well as borrowing, speak with Hire Square about getting the home ready for buyers.