Do home loan lenders look more favourably at applicants with permanent roles over casual roles despite the income?

Hi Bill.
The short answer is yes.
The longer answer is dependent upon the length of time an applicant has had the casual job and what the job is.
If the applicant is in some form of professional role in an vital industry, i.e. a nurse, teacher etc then the casual nature of the position is less important.
Appreciate that a lender does not want to put a borrower in a situation of financial difficulty which they would be in if there was a reduction in their casual hours for example.
Hope this helps you to understand how the lenders view casual employment.

Hi Bill,

Most lenders do, however there are lenders out there that will consider applicants who are casual employees. Other factors will come into play such as your overall financial profile. Best you speak to a finance broker to assess your financial profile to see which lender to approach when seeking finance. This will stack things in your favour.

All the best,

Daniel Huy

Hi Bill

The lenders primary concern (and obligation to is customers) is to ensure that you are able to service the loan amount requested without placing you into financial difficulty.

Casual income usually is irregular by nature therefore the lender will look for the following:-

- How long you have been in the role for
- Was your previous position in a similar field
- The year to date income on your payslip

The minimum period of time you would need to be in your current casual position is 3 months (and be out of probation) for the Lender to determine your level of income. There are a few lenders who will accept 3 months history however the majority want to see 12 months.

A Mortgage Broker has access to many Lenders and will be able to tailor a loan product that suits your needs.

Hope this helps.

our industry does not discriminate

however a lender looks at your current condition , capacity , collateral and character so work with your broker to prepare a quality submission

Hey Bill,

Lenders don't necessary look favourably towards your status. They do however, prefer you to be employed for at least 3 months and not on probation.
There are 3 main factors for a lender to assess:
1. How long you have been working for your current employer
2. How long you have been in the industry (profession/occupation)
3. What your payslips show for your year to date income.
In other words, if you have been working casual for 2 years, you won't have less of a chance or looked at unfavourably compared to someone who has worked full time for 2 years.

Best regards,
Berti Financial
1300 421 587
www.bertifinancial.com.au