Fluctuating income can create uncertainty for businesses seeking commercial mortgages. At Mortgage Street, we understand that business owners face varying financial conditions, and we offer tailored loan solutions to help you secure financing, no matter the income fluctuations.
Benefits to borrowers:
Flexible Loan Products
Brokers match clients with products like Optimax, Tolerant, Progressive, Receptive, and Liberal, suited for income variability.
Tailored Solutions:
Brokers provide expert advice, guiding clients toward mortgage options that align with their financial situation.
Eligibility Flexibility
Brokers maximise approval chances by considering factors beyond income, such as credit history and business stability.
Access to Specialised Products
Brokers connect clients with loan products specifically designed for businesses with fluctuating income.
Time and Stress Reduction
Brokers manage the complexities of the mortgage process, allowing clients to focus on their business.
Features:
Diverse Loan Options
Choose from a variety of loan products that align with your customer’s business’s unique needs.
Supportive Brokers
Our experienced brokers offer insights into how to manage fluctuating income and improve the borrower’s chances of approval.
Customised Plans
Develop a strategy to address income fluctuations, demonstrating your commitment to long-term financial success.
Partner with Mortgage Street today to offer your clients tailored solutions for securing financing, regardless of income fluctuations. Together, we can help businesses move forward with confidence.
As Australia’s premier alternative lending solution, our mission is to empower our brokers to achieve their goals
Our goal at Mortgage Street is to provide you your customers with first-class service and innovative products to help you deliver solutions to your clients who don’t fit traditional lending criteria. But if your clients don’t qualify for a bank loan, Mortgage Street can always find alternatives. With 24 mortgage options available, we can help your customers find the right fit for their unique situation.
7 reasons why you should work with Mortgage Street
Mortgage Street is committed to providing a modern, efficient service to our clients. By distributing home loans through professional Australian mortgage brokers, we can offer a convenient and streamlined digital process that allows you to apply for a loan, submit documents, and track the progress of your application from the comfort of your own home.
Mortgage Street is committed to providing a modern, efficient service to our clients. By distributing home loans through professional Australian mortgage brokers, we can offer a convenient and streamlined digital process that allows you to apply for a loan, submit documents, and track the progress of your application from the comfort of your own home.
Mortgage Street is committed to providing a modern, efficient service to our clients. By distributing home loans through professional Australian mortgage brokers, we can offer a convenient and streamlined digital process that allows you to apply for a loan, submit documents, and track the progress of your application from the comfort of your own home.
A Mortgage Street accredited mortgage broker can help you to maximise your borrowing capacity by advising on the best loan structure and providing guidance on how to strengthen your application. This can be helpful if you have a complex financial situation or are self-employed.
If you are planning to purchase an investment property, a Mortgage Street accredited mortgage broker can help you understand the tax implications of negative gearing and advise on the best home loan options to suit your goals.
A Mortgage Street accredited Mortgage brokers have access to a wide range of lenders, including those that may consider larger loan amounts. This can be especially useful if you are looking to purchase a more expensive property or undertake extensive renovations.
Many lenders require mortgage insurance for home loans with a loan-to-value ratio (LVR) of over 80%. By working with a Mortgage Street accredited mortgage broker, you may access lenders that do not require mortgage insurance up to an LVR of 85%, saving you money on your loan.
To help you find what you’re looking for, we’ve grouped our lending criteria into key categories.
Turbo charge your application for faster turnaround times
Mortgage Street focuses on what you and your customer needs.Submit a scenario now and we’ll help you every step of the way
Helpful guides & forms
- MSt 001 Customer Information Collection
- MSt 002 Payroll Authority form
- MSt 003 Loan Scenario form
- MSt 007 Applicant details verification
- MSt 011 Lo-Doc Declaration Accountants Verification
- MSt 012 Full Partial Discharge Authority
- MSt 013 Rate Review Form
- MSt 014 Gift Declaration Form
- MSt 015 Direct Debit Request
- MSt 028 Buying Your First House
- MSt 063 Bespoke broker premium
- MSt 067 Everyday transaction account
- Loan Application Documentation Checklist
- MSt 134 Request for Hardship Assistance
Don’t let your unique situation hold you back, explore the all mortgage options offered by Mortgage Street.
Good Borrowers
Specialist loan
Relocation loan
Convenient calculators
FAQ
What is considered fluctuating income?
Fluctuating income refers to earnings that vary from period to period, often due to factors like seasonal demand or performance-based pay. Examples include:
- Self-Employed Individuals: Earnings vary based on client demand or business performance.
- Seasonal Workers: Income fluctuates with seasonal peaks and troughs.
- Commission-Based Roles: Earnings depend on sales performance, leading to variability.
Lenders assess income trends over time and may request extra documentation to evaluate the borrower’s ability to manage repayments despite fluctuations.
What documentation is required for borrowers with fluctuating income?
Borrowers with fluctuating income may need to provide:
- Tax Returns: Typically for the last two years to demonstrate income history.
- Financial Statements: Profit and loss statements and balance sheets prepared by a qualified accountant.
- Bank Statements: Recent statements to verify cash flow and savings patterns.
- Business Activity Statements (BAS): For self-employed individuals, BAS can provide insights into business performance.
How do interest rates affect borrowers with fluctuating income?
Interest rates have a significant impact on borrowers with fluctuating income in several ways. First, higher interest rates increase monthly repayment amounts, which can put additional strain on cash flow, making it harder for borrowers to manage their finances. Secondly, fluctuating income may make it particularly challenging to meet higher repayments, as inconsistent cash flow could result in difficulty covering fixed costs. Lastly, rising interest rates can limit refinancing opportunities, as borrowers may struggle to secure more favorable terms if their income is unpredictable or if the rate increase affects their ability to qualify for refinancing.
What are the implications of stricter home loan serviceability tests for borrowers with fluctuating income?
- Reduced Borrowing Capacity: Borrowers may qualify for smaller loan amounts.
- Increased Documentation Requirements: Lenders may demand more comprehensive financial information.
- Potential for Loan Rejection: Higher serviceability standards could lead to more applications being declined.
What strategies can mortgage brokers employ to assist clients with fluctuating income?
- Educate Clients: Inform clients about loan products and financial management strategies.
- Diversify Loan Options: Offer a range of products to suit different financial situations.
- Advocate for Clients: Negotiate with lenders to secure the best possible terms.
Broker Support
Monday to Friday 9am – 5pm (Sydney time)
Frequently Asked Mortgage Product Questions
Key points
+LVR stands for the loan-to-value ratio. LVR is the amount of your loan compared to the Bank’s valuation of your property offered to secure your loan expressed as a percentage. Home loan rates for new loans are set based on the initial LVR and won’t change during the life of the loan as the LVR changes.
*Comparison rate: The comparison rate is based on a loan of $150,000 over the term of 25 years. WARNING: This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate.
Loan applications, refinances and balloon amounts are subject to credit assessment.
Conditions, credit criteria, fees and charges apply. Based on Mortgage Street’s credit criteria, residential lending is not available for Non-Australian resident borrowers. Interest rates subject to change. Before making a decision, it’s best to read the terms and conditions.