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Astute East Brisbane's Finance Insights

Drawing on his industry experience, Tony Duncan shares his thoughts on industry changes, home loan requirements and a number of important areas to consider when planning your first home purchase or your next property investment. 

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Last Week of Financial Year: What Business Owners Need to Know About Home Loans

  • Writer: Josh Jackman
    Josh Jackman
  • 4h
  • 3 min read

Updated: 3h

With just days left in the financial year, business owners are finalising their tax planning with accountants. If you're considering purchasing a home in the coming year, it's important to understand how your EOFY decisions might impact your future mortgage application.

Here's what you need to know about the connection between your financial year-end and home loan eligibility.


How EOFY Affects Your Home Loan Application

Unlike PAYG employees who can provide recent payslips, lenders assess business owners primarily on:

●      Tax returns with Notices of Assessment

●      Financial statements prepared by accountants

●      BAS statements showing consistent trading

●      Bank statements demonstrating cash flow

The decisions you're making with your accountant this week will directly influence these key documents that lenders review.


What Lenders Want to See

When assessing business owner applications, lenders typically look for:

●      Similar profit levels across multiple years

●      Clear explanation of any significant variations in expenses

●      Evidence that the business generates sustainable income

●      Understanding of all continuing Business loans, as some may have been paid out in previous years.

 

Important Conversations to Have Now

  1. With Your Accountant

While we can't provide tax advice, we recommend discussing with your accountant:

  • Start your tax planning before the end of the financial year

  • How different EOFY decisions might affect your reported income

  • The balance between tax minimisation and demonstrating borrowing capacity


1.     With Your Mortgage Broker

We can help you understand:

●      Your borrowing capacity as soon as draft Financials and returns have been completed

●      Which lender will work best for you as each lender has different options for assessment of self-employed applicants

●      How various business structures are viewed by different lenders

●      Optimal timing for your loan application


Common Documentation Requirements

Start organising these documents now:

Essential Documents:

●      Last two years' tax returns with Notices of Assessment

●      Current year financial statements (once completed by accountant)

●      All BAS statements for the past 12 months


Supporting Documents:

●      Accountant's letter confirming the status of any non-trading companies or trusts you may have set up for future projects

●      Explanation of any seasonal business variations

●      Business loan statements if applicable


Take Action This Week

If and new home or even an investment property is part of your plans for the next 12 months, now is the time to start thinking about how your EOFY decisions align with your property goals.


Contact our team today for a confidential discussion about your situation. We can help you understand what lenders will be looking for and ensure you're on the right track for a successful application.


Call us today on (07) 3667 8988 or submit a contact form here to get started.

This information is general in nature and current as of June 2025. We recommend speaking with your accountant for tax advice and a qualified mortgage broker for lending guidance specific to your circumstances.

Disclaimer:


Astute Financial Management Pty Ltd | ACN 093 587 010 | Australian Credit Licence 364253 | Davgan Insurance & Wealth Pty. Ltd. T/As Astute East Brisbane Corporate Authorised Representative (425641) of Alliance Wealth Pty Ltd | ABN 93 161 647 007 | AFSL 449221. www.centrepointalliance.com.au/aw | General Insurance provided by Astute Insurance Pty Ltd | ABN 59 622 582 236 | Authorised Representative of Ausure Pty Ltd ABN 94 096 971 854 AFSL 238433. Health Insurance products are underwritten by St Luke’s Medical and Hospital Benefits Association ACN 009 479 618 (St.LukesHealth), a registered private health insurer, [trading as Astute Simplicity Health] and members are introduced by Astute Financial Management Pty Ltd or related entities (collectively known as Astute) for which Astute receives a commission.


General Advice Warning: 


This communication contains general information only and in no way constitutes the provision of professional advice, nor should it be relied on as a substitute for financial, credit, accounting, legal or other professional advice. We have not taken into account your financial situation, investment objectives or particular needs. Before making an investment or financial decision, a person must seek appropriate independent professional advice and also consider whether this information is appropriate to their needs, objectives and circumstances. The author as well as their representatives, agents and employees give no guarantees and make no representations, express or implied, as to the accuracy, currency, completeness or suitability of the information contained in this document. Nor do they accept any liability whatsoever as a result of any information herein being incorrect, incomplete or unsuitable or as a result of a person in any way using or relying on the information herein.

 
 
 
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