The jobs that make the banks pause when it comes to securing a home loan
When it comes to securing a home loan, it isn't just your deposit and credit score that banks take into account.
Your profession can play a role in whether a bank approves or declines your application.
Sydney-based mortgage broker and Finch Financial CEO Julian Finch said some professionals have greater challenges than others.
Finch has released a list of the occupations that can make it more difficult to secure a home loan.
"A bank can decline your home loan application based on your profession," Finch said.
"While it might seem unfair, banks are in the business of risk management.
"If they view your income as unpredictable or tied to an unstable or questionable industry, they may choose not to lend."
Click through to see which careers make the banks pause when assessing applications.
Freelancers
Working for yourself as a freelancer can offer flexibility, the opportunity to work remotely full-time and the ability to control your own workload.
However freelancers can experience a fluctuating income and may not be supported by long-term contracts.
This can lead to challenges when applying for a home loan.
Gig economy workers
The gig economy gives people the opportunity to work for themselves, decide their own schedules and choose which jobs they want to take.
But similar to freelancers, their income may be inconsistent.
"Banks prefer low risk borrowers including people who have a record of long-term employment," Finch said.
Workers in the tourism and hospitality industries
A career in the hospitality and tourism industry can open doors to a wide range of opportunities.
However the industry historically boats high staff turnover due to the number of casual and seasonal roles available.
"For this reason people in these industries may also be deemed higher risk due to the sectors' vulnerability to economic downturns," Finch said.
Artists
Artists have the ability to express themselves through their work and experience a sense of creative freedom.
While the industry offers the chance to make a difference, many artists are self-employed or project-based, which can make their financial situation appear inconsistent in some cases.
Creatives
The situation is similar with the wider creative industry in Australia.
Creative careers - such as photography, animation, graphic design and acting - can also be project-based.
"Workers in this sector may have regular work but it involves multiple contracts with different clients," Finch said.
"This raises the risk profile quite considerably for lenders."
Content creators
Content creation can offer work-life balance and job satisfaction, but as many of these workers are self-employed and take on different projects, the banks can think twice.
Start-up founders
Start-up founders work hard to turn their ideas into businesses and products.
While the journey can be long, the rewards are worth it for some.
But these workers can face additional hurdles when applying for a home loan, as they "may not yet have a long enough trading history to meet lending criteria", according to Finch.
"Similarly, commission-only workers such as salespeople or real estate agents might be viewed as having unreliable cash flow, even if they earn well," he said.
Entrepreneurs
Entrepreneurs face a lot of challenges but when these workers defy the odds, the rewards can be great for some.
Finch said similar to start-up founders, entrepreneurs may find it difficult to meet lending criteria.
Influencers
Influencers are a core part of today's marketing industry.
Big businesses including supermarkets, fashion retailers and beauty brands employ influencers as a part of their advertising strategies.
However some financial institutions will hesistate to approve applications from workers in careers such as influencing.
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