Professional home loans
How occupation-based waivers work across all fields.
Home Loans for Accountants, Lawyers and Finance Professionals
Usually available, usually conditional on a minimum income, and complicated by how partnership and bonus income is assessed.
Many lenders extend occupation-based LMI waivers to qualified accountants, lawyers, actuaries and some finance professionals. Unlike the medical category, these waivers usually carry a minimum income test and require membership of a recognised professional body. The harder part is often not the waiver but how bonus, partnership and trust income is assessed.
Two things drive the outcome here: whether you meet the professional and income test for a waiver, and how a lender treats income that is not a simple salary. The second question is usually where the money is.
Who typically qualifies
- Chartered accountants and CPAs
- Admitted solicitors and barristers
- Actuaries
- Some lenders include finance professionals in defined roles
Expect two conditions that do not usually apply in the medical category:
Membership of a recognised body. CA ANZ, CPA Australia, IPA, or admission to practise. A finance or commerce degree alone is generally not enough.
A minimum income. Common in this category and often assessed on the individual applicant rather than household income, which catches out couples where one partner carries most of the earnings.
The real complication: how your income is structured
Salary is straightforward. Most of what makes these roles well paid is not.
Bonuses. Frequently a large share of total remuneration in law and finance. Lenders usually want two years of history and commonly count a percentage rather than the full amount — and the percentage differs by lender. On a large bonus, that difference alone can move your borrowing capacity considerably.
Partnership income and distributions. If you are a partner or equity holder, your income arrives through a partnership or trust and is assessed on tax returns and financials rather than payslips. That is self-employed assessment in all but name. See what lenders want from self-employed borrowers.
Retained profits. If you trade through a company, some lenders will consider profits retained in the business and others will not — a difference that can be worth a great deal of assessed income.
The practical consequence: two lenders can look at identical financials and reach very different conclusions. For anyone whose income is not a plain salary, choosing the lender before applying matters more than the advertised rate.
Common situations worth planning for
Newly admitted or newly qualified. Some lenders require a period since admission or qualification. Early-career applicants may qualify with one lender and not another.
Moving from employee to partner. A promotion to equity partner can temporarily make you harder to assess, because you shift from payslips to financials with limited history. If a move is coming, it is often easier to borrow before it than immediately after.
Large HECS or postgraduate debt. Reduces capacity while it exists. See home loans with a HECS debt.
Is the waiver worth taking?
The same test as every other waiver: compare total cost, not headline saving.
A waiver product carrying a higher rate can cost more over the years you hold the loan than the premium you avoided. On the large loans common in this category, a small rate difference compounds quickly.
Model both with the loan comparison calculator, and see what a comparison rate really tells you before relying on advertised figures.
Common questions
Usually you need membership of a recognised professional body such as CA ANZ, CPA Australia or IPA, or admission to practise for lawyers. A relevant degree by itself is generally not sufficient.
Commonly yes in this category, and it is often assessed on the individual applicant rather than combined household income. That catches out couples where one partner earns most of it.
Most lenders want two years of history and count a percentage rather than the full amount. The percentage varies by lender, and on a large bonus that variation alone can significantly change what you can borrow.
Yes. Partnership and trust distributions are assessed on tax returns and financials rather than payslips, which is effectively self-employed assessment. Add-backs and retained profits then become relevant.
Often before, because you move from simple payslips to financials with limited history. If a change is coming within a year, it is worth discussing the timing rather than assuming a promotion helps.
Bonus, partnership or trust income? Get it assessed properly
Send us how your income is actually structured. We will tell you which lenders count the most of it, and whether a waiver applies.
Related
Self-employed home loans
How lenders assess business and partnership income.
Home loans with a HECS debt
What a HECS balance does to borrowing power.