5 ways to improve your chances of getting your home loan approved

If you’re applying for a home loan, you want to make sure lenders have no reason not to give you the green light. Here are five ways to improve your chances of home loan approval.

1.    Have a stable income

Lenders want to see that you have a stable income to give them confidence you'll be able to afford to repay your loan.

You should be mindful that changing jobs may impact your application. It’s best to be in a full-time job for a minimum of six months to improve your chances. This really depends on the lender though, so get in touch to understand your options.

2.    Lower your debts

Any personal debts will limit your borrowing capacity, so you should consider paying them off or reducing them.

Lenders also look at your access to money. If you have a credit card with a limit of $10,000, a lender will factor this full amount when working out how much you can borrow – even if you only owe $100.

3.    Prove that you are a good saver

Lenders will examine your expenses as part of your application. Even if you receive a financial boost for your deposit, you'll still need to prove to lenders that you are a diligent saver and manage your money well.

In the three to six months before you apply, you may want to cut back on discretionary spending such as eating out, Uber Eats and excess online shopping. Put aside an amount every month to show a lender you have a history of regular saving.

If you’ve been paying your rent on time, you can use this as evidence of genuine savings.

4.    Use a guarantor

Having a family member go guarantor on your loan can increase your chances of a home loan approval.

A guarantor uses the equity in their property as security for your loan. However, it means that if you can’t pay off your loan, your guarantor will become responsible for the debt.

5.    Apply with the right lender

Every lender has its own criteria for assessing your mortgage application. It’s a good idea to engage us to do the research into which lenders will view your application favourably.

A final note

If you feel you can't tick all these boxes, never fear. We can help you put together a compelling application that shows the lender you'll be a good borrower.

If you’re looking for a home loan, get in touch with us today. We’ll help you put your best foot forward to your preferred lender.


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1. Any financial advice is provided by Dominium Capital Financial Advisers Pty Ltd, an Authorised Representatives of Dominium Capital Pty Limited (ABN 54 513 176) 674 AFSL 461653
2. Any credit & finance advice is provided by Dominium Capital Pty Ltd. Australian Credit Licence 461653
3. General Advice Warning – The information provided is general advice only. It has been prepared without taking into account any of your individual objectives, financial situation or needs. Before acting on this advice you should consider the appropriateness of the advice, having regard to your own objectives, financial situation and needs.