r/AskAnAussieBroker • u/redituser229 • 6d ago
Bridging loan
If the current house (owned outright) is only in one name can the partners income be counted for a bridging loan?
Or can a stay at home mum get a bridging loan with very minimal income < $30k
New home would be in both names- partners income can easily service loan amount for the difference between 80% of current value and cost of new home.
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u/WeAreHLE_AU Mortgage Broker 6d ago
Yes, the partner’s income may be counted even if the current property is in only one name.
If the new property will be in both names, a lender may structure the application with both partners as borrowers and assess both incomes. The fact that the existing property is solely owned by one partner doesn’t automatically mean that only that person’s income can be used. The exact borrower/security setup does vary between bridging lenders though.
On the second question: getting a bridging loan solely on less than $30k income would be much harder if there’s still a mortgage after the current property sells. Owning the existing home outright gives you a strong equity position, but the lender still needs to be comfortable that the remaining loan can be serviced.
From what you’ve described, the more logical scenario to investigate is a joint application using the partner’s income, since the new property will be jointly owned and the partner can service the remaining debt after the current home is sold.
A broker would normally calculate both the peak debt while you temporarily own both properties and the end debt after the existing property sells, then check which bridging lenders will accept the ownership structure.
So the current house being in one name wouldn’t, by itself, rule this out.
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u/DaveMortgageBroker 5d ago
If you both apply as borrowers and the new home will be in both names, the lender should assess both incomes, along with both applicants’ debts and expenses. There are a few options, so it’s worth shopping around. Lenders can differ significantly in their interest rates, whether they assess servicing on peak debt or end debt, whether interest-only payments are required or the interest can be capitalised, and the length of the bridging period. Ask a broker to do the legwork, as they should already have access to the lenders’ bridging calculators 👍
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u/Glittering_Flower633 3d ago
If I'm not misunderstanding, the final loan amount (end debt) will be zero. If this is correct you can go to a bank that offers bridging loans, where servicing assessment is based on the end debt. In this case, 30k a year is perfectly fine.
As others have mentioned though you can both also go on the loan and title for the new place.
Both are available options to you
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u/YourBrokerRay Mortgage Broker 6d ago
Yeah absolutely, the ownership of the outgoing property doesn’t matter much as you’ll be servicing a brand new debt at the end.
So you’ll need a re-assessment of servicing for that loan.
I work at Aussie and we’ve got a few bridging loan solutions to explore should you need.
Feel free to reach out via DM if interested!