Home Loan Rate – Australia

Yes! It is possible to get approval for your home loan while casually employed. The secret to getting approved is to know what the lender’s policy is, and to apply with a bank who can accept people in your current employment status.

Typically lenders see casual employees as unstable. Your income may fluctuate from week to week or you may go for some time without shifts at all. In addition to this you are not paid for holidays and have less job security than a full time employee.

Lenders simply haven’t come to the realisation that in this day and age nobody has the same job security that was available in the past. Many industries such as hospitality or nursing tend to have a very high number of casual employees, yet the experienced staff are never out of work. However other industries (such as finance!) tends to have many permanent full time employees that are concerned about their job security!

As a result of the way banks see casual employees they typically will not accept any of your income until you have been in your job for 12 months and even then may only use 50% of the income that you earn!

So what is the secret to getting your home loan approved?

It’s simple! Apply with a lender that has flexible policy for casual employees. Some lenders will accept 100% of the income that you earn and only require you to be in your current job for 3 months or more. They will confirm the date you started then use the Year to Date (YTD) figure from your payslip to work out your annual income.

Some lenders can also use your group certificate to calculate your earnings. A good mortgage broker can help you to decide which documents to provide to your lender so that they assess your income in the most favourable way.

You can apply with a specialist mortgage broker who understands casual employees such as the Home Loan Experts who can quickly work out which lenders can help you. Generally there are no fees for the services of a mortgage broker, they can quickly work out which lenders you qualify with even help you with the paperwork.

Nearly all people need to work and earn, join the rat race, it is a continuous process of needing to fuel the need to survive.  For those who are fresh graduates, and are looking for a new job, they tend to seek the help of agencies to provide them with good, high earning employment, which may be on a project basis at first, then develop into a regular job.  However, for those who rely on agencies to find their jobs, these types and forms of jobs are often temporary.  Although they can be considered to be only temporary earnings, they turn out to be generally beneficial, and projects are abundant.  This is especially true for mining, IT and healthcare jobs, which are in constant demand.

When these temp or agency workers try to apply for a loan, the story may be different from those who are regularly employed.  Those who are regularly employed with a stable job and constant income have it easy, and often get the best loans available as long as they provide the correct documentation and they keep their credit scores in check.

Temp or agency workers on the other hand are a different story.  Banks and lenders often see these types of workers as too risky to grant a home loan to.  Because of the possibility that they lose their income flow after a certain project, they are not the best candidates for home loans.  This does not mean that it is impossible for them to have a loan approved.  There are a handful of lenders out there that are willing to grant a home loan to temp or agency workers.

For more information on loans for temp or agency workers it would be best to consult the experts on home loans.  They can direct you to the lenders who are most likely to grant your home loan and can advise you as to what particular requirements to prepare in order to get the loan approved.

Every person has a specialization and has a skill that he or she is good in.  These personal skills are usually the reason why they get hired in the first place.  The job may be a menial job, a job at a company, self-employment, project based jobs, seasonal jobs, and a lot of other options.  Different jobs of course mean different modes of payment.  For most employees, payslips are common and these provide the necessary information on how much income is received, any previous loans made, the status of the loans and similarly related items.

Payslips are often required by banks and lenders in order to approve different types of loans.  In order to avoid risk, they need a basis for granting their loan products, and the easiest way to assess these loan products is by requesting for payslips from those who receive them.  A problem then arises when those who are employed do not receive payslips.  Where there are no payslips to present, it becomes difficult to get approval for the loan as banks have no basis whatsoever for granting the loan.

However there are ways to prove that you indeed receive income and that you are employed.  The most common way is through an employment letter from your employer.  You may also choose to provide tax certificates or group certificates as proof of income.  For those who have property holdings, it is also possible to present the property’s assessment value you can also likewise present salary credits.

The more documents you can present, even without the existence of payslips, the more likely that your loan will be granted.

For more information on how to get a home loan without the use of payslips, it would be best to consult the experts on home loans.  They can provide you with the necessary information and advice, as to which documents may be acceptable to a particular lender or bank in order to enable you to have your no payslips home loan approved as soon as possible.