What Documentation Do You Need to Refinance Your Home Loan?
When you refinance your home loan, lenders need proof of your income, existing debts, property value, and identification. The core documents include recent payslips or tax returns, bank statements covering at least three months, your current mortgage statement, and photo ID.
Consider a borrower earning $95,000 as a PAYG employee who wants to refinance to lower their rate. They submit two recent payslips, three months of bank statements showing their salary deposits, and their most recent mortgage statement showing a balance of $420,000. The application moves to assessment within 48 hours because nothing is missing. When income evidence is incomplete or bank statements don't align with declared expenses, the process stalls while the lender requests additional documents.
Lenders assess refinance applications differently than new purchases because they already know the property is mortgaged and liveable. They still need a valuation, but the focus shifts to verifying that your financial position hasn't deteriorated since the original loan was approved. If your income has dropped or your debts have increased significantly, you may not qualify for the same loan amount even though you've been making repayments on time.
Income Evidence for PAYG Employees
PAYG employees need two recent payslips and may also be asked for their most recent Notice of Assessment from the ATO. Lenders look for consistent income patterns and check that your salary matches what you've declared in the application.
If you've recently changed jobs, some lenders will accept a signed employment contract alongside a recent payslip. Others may request a letter from your employer confirming your start date and salary. Probation periods aren't always a problem, but they can limit which lenders will assess your application. If you're still in probation, expect to provide extra documentation or wait until you've completed the probationary period before refinancing.
Bonus or overtime income usually requires evidence spanning six to twelve months. If your payslips show variable income, lenders may average it or discount it entirely depending on their policy. Commission-based income is treated similarly and may require a letter from your employer outlining how commission is calculated.
Income Evidence for Self-Employed Borrowers
Self-employed borrowers need two years of tax returns, including the full Notice of Assessment for each year. Lenders also request business financials such as profit and loss statements and balance sheets, particularly if your most recent financial year ended more than three months ago.
In our experience, self-employed applicants underestimate how much detail lenders require. If you operate through a company or trust structure, expect to provide company tax returns, trust distributions, and potentially BAS statements. Some lenders will accept one year of financials if you've been self-employed for less than two years, but the range of available loan products narrows significantly.
Accountant-prepared documents carry more weight than self-prepared financials. If your tax returns show depreciation, add-backs, or director loan account activity, be ready to explain how these affect your actual income. Lenders adjust declared profit based on their own calculations, which means the income you think you're showing might not match what they assess.
Bank Statements and Spending Verification
Lenders request at least three months of statements for every account where your income is deposited or regular expenses are debited. This includes transaction accounts, savings accounts, and any offset or redraw facilities linked to your current mortgage.
They're looking for proof that your income is genuine, that you're managing debts responsibly, and that your spending aligns with what you've declared. Unusual deposits, frequent transfers to accounts you haven't disclosed, or patterns of gambling activity can trigger questions or decline the application outright. If you share expenses with a partner or housemate, be prepared to explain regular transfers or split payments.
Some lenders accept statements downloaded as PDFs directly from internet banking. Others require stamped statements or will verify them directly with your bank. Don't alter or redact statements to hide transactions. Lenders can see when pages are missing, and withholding information is treated as misrepresentation.
Current Mortgage and Property Information
Your current mortgage statement should be dated within the last 30 days and show the outstanding balance, interest rate, repayment amount, and loan account number. If you're refinancing multiple loans secured against the same property, provide statements for all of them.
The lender will also order a valuation to confirm your property's current market value. You don't need to organise this yourself, but you may be asked to grant access if the valuer needs to inspect the interior. Most refinances are assessed using desktop or kerbside valuations unless the property type or location requires a full inspection.
If you've made significant renovations since your original loan was approved, mention this in your application. Lenders won't automatically know about improvements, and a higher valuation can improve your loan-to-value ratio and potentially remove lender's mortgage insurance from the new loan. For those looking at refinancing after their fixed rate period ends, having an updated property valuation can reveal how much equity you've gained.
Identification and Supporting Documents
Lenders need a current driver's licence or passport, plus a secondary ID such as a Medicare card or rates notice. If your name has changed due to marriage or other reasons, provide a marriage certificate or change of name documentation.
If you're consolidating debts as part of the refinance, you'll need account statements for every credit card, personal loan, or car loan you want to roll into the mortgage. Even debts you're not consolidating need to be declared, and lenders will request statements or conduct their own credit check to verify them.
For investment properties, provide a copy of the current lease agreement and evidence of rental income deposited into your account. If the property is vacant or you're managing it without an agent, explain this upfront. A period of vacancy won't automatically disqualify you, but lenders won't include that income in their assessment until a tenant is secured.
How a Loan Health Check Simplifies the Process
A loan health check before you apply for refinancing helps you understand whether your current loan structure still suits your situation and highlights what documentation you'll need based on your circumstances. This review identifies gaps in your paperwork early, so you're not scrambling to find missing documents once a lender has requested them.
If your goal is to access equity, consolidate debts, or switch loan features, a health check also confirms whether refinancing achieves that outcome or whether another strategy makes more sense. Not every situation calls for a refinance, and knowing that before you start gathering documents saves time.
Call one of our team or book an appointment at a time that works for you. We'll walk through your specific situation, clarify what paperwork you need, and make sure your refinance application is complete before it's submitted.
Frequently Asked Questions
What documents do I need to refinance my home loan?
You need proof of income such as payslips or tax returns, at least three months of bank statements, your current mortgage statement, and photo identification. Self-employed borrowers also need two years of tax returns and business financials.
How recent do my payslips need to be for refinancing?
Lenders typically request your two most recent payslips. If you've changed jobs recently, you may also need to provide a signed employment contract or a letter from your employer confirming your salary and start date.
Do I need a property valuation when refinancing?
The lender will organise a valuation to confirm your property's current market value. Most refinances use a desktop or kerbside valuation unless your property type or location requires a full inspection.
What income evidence do self-employed borrowers need to refinance?
Self-employed borrowers need two years of tax returns with full Notices of Assessment, plus business financials like profit and loss statements and balance sheets. If you operate through a company or trust, you'll also need company tax returns and trust distribution documents.
Can I refinance if I'm still on probation at a new job?
Some lenders will accept applications during probation if you provide a signed employment contract and recent payslip. Others may require you to complete probation first, which can limit your lender options.
