If I have two part time jobs say $15,000 p.a. in one job + $40,000 p.a. in another part time job, would I be able to get a loan for an investment property? Would it be harder or the same to get a loan as someone who earns $55,000 full time, and would the borrowing capacity be less or the same with two part time jobs vs the same income with one full time job? Thanks
Hi Magic
It all depends on how long you had been doing them for.
Done many a deal where lenders have taken the combined income of both if we can demonstrate consistancy of employment.
A Group Certificate / Payment Summary works wonders.
Hope this helps.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hiya
Part time is usually fine – it's casual employment that can cause probs.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Having two part time roles isn't a problem so much. Even if it's casual, so long as you meet certain requirements (been with the business 12+ months, consistant pay) most lenders won't kick up too much of a fuss.
Corey Batt | Precision Funding
http://www.precisionfunding.com.au
Email Me | Phone MeInvestment Focused Finance Strategist - servicing Australia-wide
I got a loan application going through now with CBA, I am in a casual position (I work more than full time hours) , I have only been working there 4 months. CBA said it shouldn't be a problem. Ill know by end of week.
No wouldn't be a problem on a non insured loan.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Dear Magic32,
Your borrowing capacity is not dependent on type of job but earning. Lenders generally look at stability of job in terms of current employer i.e. you are with employer for how long and current profession i.e. how long you are in same profession.
Whilst Arun may not think that type of occupation is important we have got many a deal over the line where the client was in a profession that suited part time work.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Yeah I agree – employment type will always come into play. Even with servicing – there are some professions where you might be able to add back certain things – or claim certain allowances.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Dear Magic32,
I have mentioned Earnings and not taxable income, the earnings include allowances which may not be taxable. I have not seen in banks' or lenders' serviceability calculator asking for profession. The serviceability calculators are used for calculating borrowing capacity.
Really i have sat on the credit scoring side of a lending desk and profession weights very heavily.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Dear Magic32,
For your Question
"would the borrowing capacity be less or the same with two part time jobs vs the same income with one full time job?"
Clear answer is no.
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