Can I get a home loan with a newly registered ABN?

Going out on your own is a big step, and many new business owners assume it locks them out of a home loan for two years. While a longer trading history certainly helps, a short ABN does not automatically mean you cannot borrow. Here is how lenders tend to view it.

Why lenders like a longer history

Lenders generally prefer to see an ABN registered and trading for around two years, because a longer history gives them confidence the business is established and the income is sustainable. A very new business has less of a track record to assess, which is why the two year mark is a common benchmark.

Some lenders consider a shorter period

Some lenders may consider a shorter trading history, for example in the order of six to twelve months, particularly where the rest of the application is strong. Whether a lender offers this, and the conditions they attach, varies, so it is worth checking rather than assuming you must wait the full two years.

Prior experience in the field helps

A key factor is whether you worked in the same industry before going out on your own. A tradesperson who was employed in their trade for years before starting their own business, for instance, presents very differently to someone entering a brand new field. Continuity of experience can give a lender comfort despite a short ABN.

The rest of the file matters more

With a short trading history, the rest of your application carries more weight. A solid deposit, clean credit, strong recent trading shown through business activity statements or bank statements, and an accountant who can support the income all help offset the limited history.

Low doc may bridge the gap

Where full tax returns are not yet available because the business is new, a low documentation loan using alternative income evidence may bridge the gap, though it comes with its own larger deposit and rate settings. This can be a path while your trading history builds toward a full documentation loan later.

Policies vary and change

How lenders treat a short ABN differs between lenders and can change over time. A decline from one lender on this basis does not mean every lender would decline you, which is the kind of situation where comparing lenders is valuable.

Find a lender that fits your timeline

Because this depends so much on the lender and your background, the useful step is to match your situation to a lender whose current policy suits your trading history. A broker who works with self employed borrowers can identify which lenders may consider a short ABN for you, usually at no cost to you. This is general information, not advice.