Buying your first home, or upgrading because your family needs more space, is exciting, but let’s be honest… the loan process is confusing, complex, and stressful.
There’s paperwork you’ve never seen before, lenders asking for documents you didn’t know existed. And making any mistake slows everything down.
If you’ve ever wondered, “Where do I even start?”, you’re not alone.
Most buyers feel the same way.
Between managing everyday expenses, childcare, work, and saving for a deposit, finding time to prepare for a home loan feels impossible.
But getting approved quickly isn’t about luck; it’s about being organised. And JH Finance Group will help you in that.
We are sharing the home loan approval checklist in this blog post. That makes all the difference.
Plus, breaking it all down step by step, so you know exactly what lenders look for and how to prepare everything in advance.
So you get approval faster without stress and move into the home your family deserves.
The Complete Home Loan Approval Checklist
Gather the following home approval checklist to easily get approval for your home loan.
A. Identification Documents
- Photo ID (driver’s licence, passport)
- Secondary ID (birth certificate, Medicare card, utility bill)
- Ensure all documents are current, clear, and valid
B. Income Documentation
For Salaried Applicants:
- Recent payslips (last 3–6 months)
- Most recent tax return
- Employment letter or contract (if requested)
- Bank statements showing salary deposits
For Self-Employed Borrowers
- One year of individual tax return (not older than 22½ months)
- Corresponding ATO Notice of Assessment
- One year of business tax return (not older than 22½ months)
- Profit & loss statement (for the same financial year)
- Balance sheet (for the same financial year)
These documents help lenders verify income reliability and business stability.
Additional Income Sources (If Applicable)
- Rental income statements
- Foreign income evidence
- Dividend statements
- Centrelink payments (depending on lender policy)
C. Assets & Liabilities
Assets:
- Savings and term deposits
- Shares and investments
- Owned vehicles or property
- Superannuation (not always assessed, but helpful to list)
Liabilities:
- Credit cards (limit + balance)
- Personal loans, car loans
- Buy-now-pay-later accounts
- Any other outstanding debts
Tip:
Get a recent credit report to ensure all liabilities are listed correctly.
E. Property Details (When Applicable)
If You’re Purchasing a Home:
- Signed contract of sale
- Deposit receipt
- Details of the property: address, type, title
If You’re Building:
- Building plans
- Fixed-price building contract
- Building permit
- Quotes for construction costs
F. Insurance & Protection
- Home and contents insurance (required before settlement)
- Mortgage protection, income protection, or life insurance (optional but often recommended)
Why it matters:
Lenders want to see that the property and your financial position is protected before they release funds.
Pre-Approval & Borrowing Power Considerations
Pre-approval is your early advantage in a competitive market.
It tells agents you’re serious, shows sellers you’re ready, and gives you a realistic price range before you waste time on homes outside your budget.
Most importantly, it removes the uncertainty; you’ll know exactly how much a lender is willing to offer before you even step inside an inspection.
How Your Borrowing Capacity Is Calculated?
Lenders look at one simple question: Can you comfortably afford this loan?
To find the answer, they assess:
- Your income (salary or business income for self-employed borrowers)
- Your living expenses
- Existing debts and credit limits
- Your savings history
- Loan interest rate and buffer requirements
- Number of dependants
They’re not trying to make things difficult. They’re just making sure your repayments stay manageable today and in the future.
Common Mistakes That Can Delay Approval
Most home loan delays don’t happen at the bank.
They happen at the table when applicants hand over half-complete paperwork, guess their expenses, or forget a document that stalls everything.
Lenders don’t reject these applications; they simply push them aside until the gaps are fixed. And that can cost you the home you’ve been waiting for.
Avoid the mistakes that slow everyone down:
- Incomplete or outdated documents
- Sudden job changes or unstable income
- High debt or poorly recorded expenses
- Asking for more than your true borrowing power
- Missing key insurance or property documents
When you follow above mentioned home loan approval checklist, your application is clean, accurate, and organised. And lenders move fast to help the bank approve the loan without questioning anything.
How JH Finance Group Helps You Check & Cross Everything Off?
You don’t need “more information”, you need someone who knows exactly what lenders (we) are looking for. Who can organise your documents before the bank starts asking questions?
It is a confusing, yet critical, step. But you don’t have to handle it all alone.
At JH Finance Group, we help you understand the process and documentation needed with clarity.
Here is how we make your approval smoother:
- Expert review of every document so nothing is missing, outdated or unclear.
- Pre-approval guidance and lender matching to help you choose the right loan from the start.
- Specialist support for first-time buyers and growing families, tailored to your situation.
- Transparent communication, no jargon, because you always know what’s happening next.
- And a list of lenders who offer the best interest rates that you can’t refuse.
With the right guidance, you submit an application that the bank takes seriously.
Follow this home loan approval checklist, and your new home is closer to you than you think. More than 120+ people successfully achieved what they dream of with our affordable financial solutions.
Speak with our lending experts today and get loan approval fast with JH Finance Group.
Dial us at 0433 633 599 or contact us here.
