Home loans for accountants

The income problems accountants face

Employed accountants usually have straightforward salary income, often with a bonus that some lenders shade or ignore. The complexity arrives with partnership. Drawings, profit distributions and retained earnings do not look like a salary, and a lender reading a partnership return for the first time can underestimate what you actually earn.

Practice owners face the reverse problem. A well run practice might show modest taxable income because you have legitimately minimised tax, which is exactly what your clients pay you to do for them. That same skill can shrink your borrowing power if the application is presented without context.

How lenders assess accountant income

For employed accountants, payslips and an employment contract cover the base, with bonus income counted fully or partially depending on history and lender policy. For partners, lenders review the partnership tax return, your individual return and sometimes an accountant letter confirming your share of profits.

For LMI waivers, the lender checks your membership against its accepted list. ANZ publishes a waiver for eligible accountants at up to 90 percent loan to value ratio with no minimum income for the waiver itself, and NAB lists practising CA ANZ, CPA and IPA members. Accepted bodies and limits vary by lender, and normal serviceability checks still apply.

A worked example

These figures are illustrative only and are not a quote or an assessment of your situation.

A senior accountant in Melbourne earns $140,000 plus a $15,000 annual bonus. She has saved 10 percent towards a $750,000 home. With current CA membership she is eligible for an LMI waiver at a major bank at 90 percent loan to value ratio, avoiding a premium of roughly $16,000. Her bonus counts in full because she has received it for three consecutive years.

The waiver is eligibility based, not automatic. Membership evidence, credit history and standard affordability checks all still apply.

Which lenders are commonly relevant

The major banks with published professional policies are the usual starting point for eligible accountants seeking an LMI waiver. For partnership and practice income, lenders with experienced business credit teams tend to assess distributions more sensibly. Practice acquisitions, partner buy-ins and office premises are business lending with separate criteria.

Policies change and every application is subject to credit assessment. We compare the panel for your membership, structure and goals.

Common questions

Which accountants qualify for an LMI waiver?

Usually practising members of CA ANZ, CPA Australia or IPA, depending on the lender. Current membership evidence is required, and loan and property limits apply. We confirm your eligibility before you apply.

Is there a minimum income for the accountant LMI waiver?

ANZ publishes no minimum income for the waiver itself, but standard serviceability checks still apply. You must be able to afford the loan. Other lenders set their own conditions.

How is partnership income assessed?

Lenders review the partnership return, your individual return and your share of profits, sometimes with an accountant letter. Consistent distributions over two years present far better than a single strong year.

Can I finance a practice purchase or partner buy-in?

Yes. These are business lending assessed on the practice financials and your position. We structure the home loan and the business finance together so one does not limit the other.

Does salary packaging affect my borrowing?

It can. Some lenders add back packaged benefits when assessing income and others do not. Choosing a lender that reads your package correctly can materially change your borrowing power.