A low-doc (low-document) home loan is a type of loan package for borrowers who may not meet traditional lending criteria, such as those who are self-employed or have irregular income streams. These loans require less documentation compared to standard home loans and are generally extended by specialist lenders, making them an attractive option for aspiring homeowners who may not have access to regular mandatory income documentation like pay slips or tax returns
Standard Low-Doc Loans: These loans typically require minimal documentation, such as bank statements, Business Activity Statements (BAS), or an accountant's letter to verify income. Self-employed home loan applicants such as business owners, entrepreneurs, and freelancers usually opt for standard low-doc loans.
Alt-Doc Loans (Alternative Documentation Loans): These allow borrowers to provide a combination of documents to prove income, such as multiple bank statements, a registered business certificate, or an asset declaration.
Low-Doc Construction Loans: Suitable for self-employed individuals looking to build a property, these loans may offer higher interest rates due to the increased risk.
Low Doc Loan Requirements and Qualification
Must be an Australian citizen or permanent resident above 18 years of age
Proof of Income can be provided through alternative documentation such as bank statements, BAS, or an accountant’s declaration.
A reasonable credit score is usually required, though some lenders may be more flexible.
Loans are available for both owner-occupied and investment properties.
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Are you looking to apply for a low-doc home loan? At Select Loan & Mortgage, we host a panel of popular specialist lenders who can help your case. Just fill out our assessment form today to start your journey!
