Home Loans for Accountants: Waived LMI & Interest Rate Discounts

If you’re an accountant, you may qualify for major home loan perks that most borrowers don’t get. That includes waived Lenders Mortgage Insurance (which can save you $20,000+), discounted interest rates, and the ability to borrow up to 90–95% of the property value with no LMI.

In some cases, there’s no minimum income requirement. Eligible roles include accountants, auditors, actuaries and finance managers, with recognised memberships like CA, CPA or CFA often required.

Whether you’re PAYG or a partner in a firm, there are tailored options designed to reward your profession and long-term earning potential.

In this article, we are going to dive deeper into the benefits you can expect as an accountant (or a professional working in the finance industry).

Why Is Waived LMI Such a Great Deal For Home Buyers And Investors?

You normally pay a Lenders Mortgage Insurance if you don’t put up a one-off 20% deposit upfront, which can cost thousands of dollars. Some lenders provide accountants with waived LMI and you no longer need to pay this.

As an accountant, you can use waived LMI to buy and grow multiple investment properties and build a large portfolio.This could save you around $24,000 for a 90% loan on a $1,000,000 property!

The main qualifying criteria are:

• Borrow up to 90% of the property value.
• Purchases and refinances are both eligible.
• No minimum income required with one of our lenders. Otherwise, you must be earning a minimum of $120,000 – $150,000 per annum*
• Maximum loan amount against any one security is $2.7 million (i.e. the property value must not exceed $3 million). Typically, this is limited to $ 2 million per security.
• Higher exposure limit when purchasing multiple investment properties.
• You must be an accountant, finance manager, auditor or actuary.
• Evidence of your degree or industry membership (e.g. CPA Australia) may be required.
• You must meet all standard lending criteria.
  *This includes your taxable income and rental income. It doesn’t include your spouse’s income.

To find out more please call us on 1300 889 743 or fill in our free assessment form.

What Are The Special Interest Rate Discounts For Accountants?

Some accountants don’t qualify for a waived LMI premium or don’t need it as they are borrowing less than 80% of the property value.

In this case we can offer special negotiated interest rate discounts on your home loan. The discount will depend on:

• Your total loan size.
• The percentage of the property value that you are borrowing.
• Your industry membership and degree.

These professional discounts are all considered on a case by case basis. Please call us on 1300 889 743 or fill in our free assessment form for more information.

Can You Get 90% Home Loans with No LMI?

Yes, A lender on our panel is offering waived LMI on a 95% home loan for accountants.

There is no minimum income requirement. To qualify for no LMI on a 95% home loan:

• Buy a residential property (only Category 1 and 2 locations accepted)
• Hold a university degree from Australia or overseas.
• Be an Australian citizen or permanent resident living and working in Australia.
• Be employed as an accountant and not on probation.
• Have PAYG income in the industry for at least the last three years; doesn’t all have to be with the same employer but you must be past your probation period.
• Minimum credit score required.
• If self-employed, you need a minimum of two years’ tax returns and full financials; ABN must be registered for at least two years and you must provide evidence of reported profit each year.
• The maximum loan amount is $1 million.

Which Lenders Waive LMI For Financial Professionals?

Use our assessment tool to determine how many lenders offer waived LMI for you. You also get to uncover the potential savings on LMI.

What is the Minimum Income Requirement For Waived LMI?

Some lenders offering LMI waivers to eligible accounting professionals apply minimum income thresholds.

A common policy is:

• WA, SA, NT, TAS: minimum income of $120,000
• NSW, ACT, VIC, QLD: minimum income of $150,000

This income may include rental income, but generally doesn’t include a spouse/partner’s income unless they’re also an eligible accounting professional.

If you don’t meet the individual threshold, some lenders may still consider you eligible if combined income (you + spouse/partner + rental income) is $150,000+.

Example: If an eligible accountant earns $100,000 and their partner earns $50,000, the couple may still qualify for an LMI waiver (depending on the lender and overall application).

Is There A No Minimum Income Option?

At least one major lender offers an LMI waiver for eligible accounting professionals with no minimum income requirement, subject to other conditions.

To qualify for no income waived LMI as an accountant:

• There is no minimum income threshold.
• You have to be a member of the CA, CPA, CFA and FIAA.
• The maximum loan size against a single security is $2.7 million. The maximum value you can purchase or refinance is $3 million.
• You must hold at least a 50% interest in the property i.e. if there are two borrowers, one is an accounting professional and the other a social worker, the accounting professional must have a 50% ownership interest in the loan property.

What are the Eligible Accountancy Occupations for Waived LMI?

To be an eligible accountant for waived LMI, you need to be currently working as one of the following:

• Accountant
• Actuary
• Auditor
• Chief Financial Officer
• Director
• Finance Director
• Finance Manager
• Financial Controller
• Partner

Which Industry Memberships Are Recognised?

To be eligible for a no LMI loan you must be a CA, CPA, CFA or FIAA and registered with:

• Chartered Accountants Australian and New Zealand (CAANZ) – including Global
• Accounting Alliance
• Certified Public Accountants Australia (CPA) – including recognised partnering professional bodies
• Chartered Financial Analyst Institute Australia (CFA)
• Fellowship of the Institute of Actuaries of Australia (FIAA)
• Institute of Public Accountants (IPA)
• Other industry bodies are considered on a case by case basis.

What’s An Acceptable Form Of Evidence Of Membership?

An acceptable form of evidence can be any one of the following:

• Receipt for payment of annual membership
• Current valid membership card
• Written confirmation from the listed association
• Practising Certificate
• An invoice and proof of payment from the relevant governing body, or internet print out confirming current membership, or current year’s certificate confirming current membership are also accepted.

Snapshot of Eligibility Criteria For No LMI For Accountants

Can A Partner In An Accounting Firm Get Waived LMI?

Accounting firms are usually structured as partnerships, often with anywhere from five to twenty partners. This makes them quite different from a company that is owned and managed by a single individual.

Under standard bank policy, you’re generally required to provide financial statements and tax returns for any business in which you hold a share and that contributes more than 25% of your income. This applies whether the income is received as a salary, director’s fees or dividends.

If you’re applying for a commercial loan in the name of the firm, the bank will need to assess the financial position of the entire business. However, when applying for a home loan in your personal name, it’s usually unnecessary for the lender to review the full financials of the accounting firm.

As a partner in an accounting practice, this requirement can often be waived.

Call us on 1300 889 743 or enquire online and one of our specialist mortgage brokers will be in touch to discuss your situation and guide you through the process.

Why Do Banks Struggle With Partnerships?

Banks often struggle with financing a partnership because it requires a unique legal structure.

And while banks can handle a sole trader, company, trust or an Australian Securities Exchange listed company, their systems and even processes are not set up with partnerships in mind.

A partnership is a relationship and not a separate legal entity, with two or more people going into business to make a profit.

Partners share all the business assets and liabilities so it is vital that each partner knows their rights, responsibilities and obligations.

How Do I Prove My Income As A Partner?

Banks and other lenders want to see your personal tax returns and assessment notices for the previous two years. If your salary is sufficient to service your debt, then

Typically, banks and other lenders will want to see your personal tax returns and notices of assessment for the last two years. If your salary is sufficient to service your debt then we can accept your two most recent payslips on their own.

However, those who are partners in selected larger accounting firms may be able to provide proof of their income via a letter or email from the firm’s Administration Manager (or equivalent) when applying for a residential home loan.

The letter will be used for income verification purposes instead of standard self-employed income documentation such as tax returns.

Which Firms Qualify For Reduced Income Verification?

If you are a partner in one of the following firms and borrowing less than 80% of the property value then you may be eligible to provide an employment letter as proof of your income:

• Ernst & Young
• KPMG
• Minter Ellison
• Allens Arthur Robinson
• Gadens
• Henry Davis York
• Corrs Chambers Westgarth
• Freehills
• Mallesons Stephen Jacques
• Clayton Utz
• PKF
• PWC
• Deloitte
• McGrath Nicol
• Grant Thornton

To find out what kind of income verification you will need, speak to one of our brokers on 1300 889 743 or enquire online.

Case Study – No LMI Home Loan As A Chartered Accountant

A Chartered Accountant earning $140,000 and his nurse partner sought alternatives after CBA pre-approval to avoid up to $26,000 in LMI. Despite income and part-time employment challenges, Home Loan Experts’ mortgage broker Preeti secured a lender with no minimum income rule, waived LMI, gained credit exceptions, and achieved a 3.09% rate with full approval.

Read The Full Story

Apply For A Home Loan

We have special packages for high net worth professionals and can negotiate special discounts on your behalf?

And if you are a partner in an accounting firm looking at purchasing a residential property, speak to a mortgage specialist on 1300 889 743 or enquire online to find out if you are eligible.