Can You Get a Home Loan With Less Than Two Years ABN?
Many self-employed borrowers believe they need at least two full years of financials before they can apply for a home loan. While this is a common lender guideline, it isn’t always a hard rule. Understanding whether you can get a home loan with less than two years ABN can help you explore options earlier and avoid delaying your property plans unnecessarily.
Why Most Lenders Prefer Two Years ABN
Lenders typically prefer a minimum of two years trading history because it demonstrates business stability and income sustainability. Two years of financials allow lenders to identify trends and assess long-term risk.
This is especially important for new or volatile industries.
When Less Than Two Years May Be Acceptable
Some lenders will consider applications with less than two years ABN under certain conditions.
These may include:
- Strong income growth and consistent cash flow
- Previous experience in the same industry
- Large deposit or strong equity position
Each lender applies different rules, so lender selection is critical.
What Documents Are Usually Required
When applying with less than two years ABN, lenders often require additional documentation to offset perceived risk.
These may include:
- Year-to-date financials
- BAS statements
- Accountant letters confirming income and business stability
How Borrowing Capacity Is Affected
Borrowing capacity may be reduced when applying with a shorter trading history. Lenders may take a conservative approach when assessing income or apply stricter servicing criteria.
A strong overall financial position can help balance this.
Why This Matters for Australian Self-Employed Borrowers
Australian lenders vary significantly in how flexible they are with ABN length. Applying to the wrong lender too early can result in unnecessary declines and credit file impact.
How The Finance Brokers Can Help
The Finance Brokers understand which lenders will consider applications with less than two years ABN. They help structure your application, present supporting evidence, and guide you on the best timing to apply.
Not Sure If You’re Eligible Yet?
If you’re self-employed and unsure whether you meet lender requirements, a conversation with a broker can clarify your options and next steps.
Book a free consultation with The Finance Brokers
Final Thoughts
While two years ABN is the standard guideline, it isn’t always a barrier. With the right preparation, documentation, and lender choice, self-employed borrowers may be able to access finance sooner than expected.
