Commercial Property Loans for Self-Employed

Key highlights

• Self-employed buyers can use bank statements or BAS as income evidence
• Low doc options help when tax returns are not yet finalised
• Property security supports larger amounts and longer terms
• Consistent turnover and a solid deposit strengthen your position
• Lender appetite for self-employed applicants varies, so compare

The self-employed borrowing challenge

When you work for yourself, your income is genuine but rarely as tidy as a salaried payslip. It can be seasonal, spread across entities, or reinvested back into the business before it shows up as personal income. Standard full-documentation lending can penalise this even when the underlying business is strong. Commercial property loans for self-employed buyers recognise the pattern and give lenders alternative ways to assess capacity, including low doc pathways using bank statements or BAS. The loan is secured against the property, which provides comfort even with less conventional income evidence. Availability and terms always depend on the individual lender's criteria and their assessment of your specific circumstances.

Evidence lenders can use instead of full returns

Where full financials are not available, some lenders assess self-employed buyers using recent business bank statements, BAS lodgements demonstrating turnover, GST registration and sometimes an accountant's declaration. The cleaner and more consistent this evidence, the more options tend to open. The property being purchased is also assessed, since it secures the loan. Not every lender accepts the same documents, and thresholds differ, so knowing which institution wants which format before applying saves time and avoidable declines. A self-employed buyer who does not fit one lender's requirements may fit another's comfortably, which is why matching your evidence to the right lender matters so much.

Sole traders, contractors and directors

Self-employed covers a wide range: sole traders and contractors trading under an ABN, partners in a small firm, and directors of a company. Each presents income differently, and lenders weigh them differently. A contractor with a year of strong bank statements may look very different on paper from a director who reinvests profits. What tends to matter across all of them is consistency of turnover, a reasonable deposit and a clean recent history. If your latest returns are not finalised, low doc options can bridge the gap. The key is presenting your position to lenders whose criteria actually suit how you earn, rather than forcing a square peg into a round hole.

Deposit, security and how much you can borrow

For self-employed buyers, particularly on low doc terms, lenders often manage risk through the deposit and security. That can mean a larger contribution than a full-doc equivalent, and a conservative view of the property. If you hold other assets or property, some lenders may consider additional security to strengthen the application. Because the loan is secured against the premises, amounts can reach the larger end of Overdrive's range, which runs from around $5,000 up to $5 million, all indicative and subject to lender assessment. The right number depends on the property, your deposit and your turnover, so comparing lenders helps you understand what is genuinely achievable rather than one bank's cautious estimate.

Rates and terms for self-employed buyers

Pricing reflects both the product and your profile. Stronger secured commercial facilities can start from around 7.49% p.a., with self-employed, low doc and higher-risk profiles priced above that depending on turnover, term, security and credit profile. Every rate is indicative and subject to lender assessment, and none is guaranteed. Terms are structured for property lending and are generally longer than short-term working capital. Some self-employed buyers accept a slightly higher rate now to secure premises, then refinance once their financials are complete and their trading history longer. The most useful comparison weighs the whole structure, not just the headline rate, against how repayments sit alongside your business cash flow.

Keep your accountant in the loop

For self-employed buyers, the tax and structuring questions are especially important. How the property is owned, whether GST applies to the purchase, how interest is treated and which entity holds the asset all depend on your situation and goals. These are decisions for your accountant, not your broker. Getting that advice before you commit means the structure is right from the start rather than expensive to change later. Keeping your BAS and bookkeeping current also makes both this application and any future refinance easier and cheaper. Check with your accountant on all tax matters, and treat any general information here as background rather than advice.

Why comparing 80+ lenders matters most here

Appetite for self-employed and low doc applicants is where lenders diverge sharply. Some banks are cautious, while a range of non-bank lenders specialise in exactly these borrowers. Accepted documents, deposit expectations, acceptable property types and pricing all vary. Applying to a single institution means accepting its view without seeing the alternatives, and a decline can dent your confidence unnecessarily. Overdrive's Simon Kendrick compares a panel of 80+ banks and non-bank lenders on one application, matching your evidence and profile to the lenders most likely to say yes. For eligible applicants, this targeted approach improves your odds and avoids scattered applications that each mark your file.

Being self-employed should not stop you owning your premises. Simon Kendrick at Overdrive Business Loans can review the income evidence you have, run a soft credit check that leaves no mark, and compare commercial property loans for self-employed buyers across 80+ lenders to find a suitable fit. For eligible applicants, indicative terms can come back quickly. Reach out for an obligation-free quote, and bring your accountant into the tax and ownership questions so your purchase is structured well. There is no obligation and no impact on your credit score to explore what is available.