Temporary Worker Mortgage

Do you have a full-time job and are also employed temporarily? For example filling in at a cafe, restaurant or clothing shop. Temporary work offers increased job flexibility and a chance to try different fields of employment, as well as extra income.

But there are obvious downsides, especially when it comes to your capacity to qualify for a home loan. Some banks believe that temporary workers can’t afford a mortgage. However don’t worry, we know lenders that may still approve you!

How do the banks view temporary workers?

Banks like to see a strong history of work, security of employment and a stable flow of income, which are all difficult to obtain if you are a temporary worker! Just like any unconventional employment type, the banks take a very conservative view! They generally conform to strict lending policies which mean that your loan may be declined.

Because temporary work can be short-lived, there may be lengthy periods where you are unemployed and as a result, unable to meet your repayment obligations. Lenders therefore view the risk of default as substantially higher.

However, not all lenders take this view! Read on to then speak to us to find out how we can help you obtain a mortgage. You can call on 1300 886 115 or enquire online.

You may also like to view out page for Agency Worker Mortgages as many temporary workers find employment through an agency.

Can I still get a mortgage?

Having assisted many individuals obtain a mortgage, we know that employment types come in many varieties from temporary to permanent. If you have a strong history of work in the same field and a stable income, there is no reason why you shouldn’t qualify for a mortgage.

However, if you cannot demonstrate a strong working record in your field as well as a stable income, getting approval may not be possible. This can depend on which lender you apply with. Some lenders are more flexible than others so it is best to discuss your situation with our brokers.

How much can I borrow?

You may be entitled to borrow up to 90% LVR, however in some circumstances you may be eligible to borrow up to 95% of the property value!

What types of loans can I apply for?

The loan can be used for a variety of purposes including, purchasing a home, investing, and refinancing and construction projects.

What is a temporary worker?

Temporary workers supplement regular employees during large scale projects and fill-in for staff members during times of illness or leave. The period of employment is short term and is generally fixed.
What industries employ temporary workers?

Industries where temporary work is popular include but are not limited to:

  • Agricultural
  • Accounting
  • Engineering
  • Law
  • IT
  • Education

Advantages and disadvantages

As with any employment type, being a temporary worker has both positives and negatives. The benefits of temporary work include:

  • Greater flexibility
  • More options to try out various types of work
  • An alternative way of getting into an industry and then eventually becoming a permanent employee
  • Offered a higher rate of pay

Some disadvantages are:

  • Less job security than permanent workers
  • Do not receive the same benefits as permanent employees such as health insurance
  • Reduced ability to secure a home loan due to short term employment status
  • Employment status is an important factor that the banks take into consideration when determining your capacity to repay your mortgage. Because you aren’t a full-time worker, the banks may not recognise your work as sustainable. As such, it may be difficult to get a home loan.

    Contact our team today!

    The Home Loan Experts are experienced mortgage brokers who have all worked for major lenders. As a result we know which lender is right for you. Enquire online or call us on 1300 866 115 so that we can help you get approval for your employment mortgage today!