Any Lenders that assess on 1 year returns only?

Discussion in 'Loans & Mortgage Brokers' started by alvaro86, 24th Feb, 2022.

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  1. alvaro86

    alvaro86 Active Member

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    Hi guys,

    Would anyone know if there are any lenders that assess your loan application if you are self-employed on 1 year financials and tax returns only and not 2 years?

    From my understanding ANZ Bank and Bankwest assess off 1 year only.

    Any advice would be appreciated.

    Alvaro
     
  2. Lindsay_W

    Lindsay_W Well-Known Member

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    Yes there are.
    How long has the ABN been registered though?

    Asking for yourself or someone else? I notice you got a ANZ loan recently
     
  3. alvaro86

    alvaro86 Active Member

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    Thanks Lindsay.

    This is for a relative (cousin). ABN has been in existence for about 5-6 years.
     
  4. Peter_Tersteeg

    Peter_Tersteeg Mortgage Broker Business Member

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    Quite a few lenders assess on the most recent year but the ABN does need to be in place for more that 2.

    They will also ask for business financials for the last 2 years. If there's a discrepancy they will want an explaination and likely want BAS statements for the current financial year to demonstrate that things are still back on track.

    If 2020 was a lousy year due to COVID, that's okay, but they want to know that things are better and continuing to be better.
     
  5. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Yes there are a few more - which I won't disclose. You should use a broker
     
  6. Tony Xia

    Tony Xia Structured Loan Advisor Business Member

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    More notably is ANZ and Bankwest.

    some will average the last 2 years.

    Some will use the latest years but still require the last 2 years and you need to make commentary if there is a big variance.

    Some will use latest year with a couple of BAS statements
     

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