Yard Home Loan Lending Policy 2026

Yard home loans cover residential purchases and refinancing, with separate assessment routes for salaried, self-employed and non-resident borrowers. Start with the applicant’s actual income and property use, then match the evidence to the proposed product. A maximum loan-to-value ratio (LVR) is a ceiling, not an approval for every borrower or property.

Scenario Facts to Establish

Establish who will borrow, how they earn their income and what the loan will fund before selecting a Yard home loan. Yard’s eligibility FAQ, checked on 3 October 2026, accepts single and joint applications and sets a minimum applicant age of 18. It also describes non-resident lending, including Australian citizens earning income overseas.

Record the following facts in the scenario summary.

• Each applicant’s age, citizenship, residency status and country of residence.
• Whether the borrower is an individual or uses a company or trust, including who will own the security.
• Whether the property will be owner-occupied or an investment, including any planned change of use.
• The purpose and amount of each loan component, including debts to refinance and any additional funds requested.
• Each income source, its currency, employment arrangement and expected changes.
• Existing debts, credit limits, living expenses and dependants.

Separate a purchase from a refinance and explain additional borrowing independently. For example, replacing the existing mortgage and funding renovations are two uses of the new loan. Record both amounts so the lender can assess the entire request.

Keep a question separate from a settled fact. A non-resident borrower with overseas salary needs an answer about that country’s income treatment and the specific product’s eligibility. Listing non-residents as a borrower category does not settle those conditions.

Retain the requirements and supporting evidence in your preliminary credit assessment. It records why the proposed loan meets the client’s objectives before lender placement. For other lenders’ assessment routes, use the lender policy guides.

Income and Deposit Record

Choose the income-evidence route that matches how the applicant actually earns money, then reconcile the funds available for settlement. Yard’s self-employed home loan page, checked on 3 October 2026, describes both tax-return assessment and alternative income verification.

For a self-employed applicant, Yard typically asks for the latest financial year’s personal tax return and corresponding Australian Taxation Office (ATO) assessment notice. A company business also needs its latest company tax return and business financials. Alternative evidence can include an accountant’s letter, business activity statements or bank statements.

Yard generally expects two years of Australian Business Number (ABN) registration, but also describes options for applicants with six months of ABN registration. That shorter history needs its own product assessment. It does not give every newly established business access to the maximum residential LVR.

For salaried applicants, build the income record from their employment details, payslips and salary credits. Distinguish base pay from overtime, bonuses and other variable income. Ask the Yard Loan Consultant which evidence period and income treatment apply to that employment arrangement before relying on variable amounts.

For business income, match the same reporting periods across documents. Explain large movements in profit and identify wages already deducted from company profit. Counting a director’s wage twice overstates the income available for repayments.

Trace the Deposit to Settlement

Reconcile the deposit’s ownership and source with the purchase costs. Use the account history to explain savings, gifts, sale proceeds or borrowed funds. These are different sources, so record each amount separately.

Prepare a funds worksheet with the purchase price, acquisition costs, loan proceeds and verified borrower funds. Show the contract deposit already paid and avoid counting it again as money still in the account. Include funds the borrower needs to retain after settlement.

This hypothetical example shows the accounting, without assuming Yard approval. A borrower buys a $700,000 home and requests a $560,000 loan, giving an 80% LVR if the accepted value is $700,000. Assume acquisition costs of $25,000, excluding the contribution to the purchase price.

The borrower needs $165,000 in total funds: $140,000 for the price difference and $25,000 for costs. If a $35,000 contract deposit is already paid, the remaining contribution is $130,000. A remaining balance of $120,000 leaves a $10,000 shortfall.

For a gift or recent large transfer, take the source evidence and repayment terms to Yard. Ask whether the proposed product accepts that contribution and what savings history it requires. Do not record a repayable family loan as an unconditional gift.

Property Decision and Next Step

Match the security’s use and characteristics to the product before treating its published LVR as available. Yard’s home loan page, checked on 3 October 2026, lists maximum LVRs of 95% for home owners and 90% for investors. It states that lenders mortgage insurance (LMI) is needed above 80% LVR.

The page lists established dwellings, apartments and vacant land. Its property FAQ also mentions rural residential properties, hobby farms and off-the-plan purchases. A listed category still needs assessment of the particular security and transaction.

Record the address and postcode, title details, actual use, dwelling type and land area. For an apartment, add its internal area and any unusual accommodation use. For an off-the-plan purchase, record the completion date and the contract’s finance deadlines.

Calculate LVR using the security value Yard accepts for assessment. A lower accepted valuation increases LVR even when the loan request stays the same. The maximum LVR guide explains why purpose and security restrictions can set different ceilings.

Send a Defined Policy Question

Use Yard’s Loan Consultant contact route to resolve a specific income or security condition before submission. For a small apartment, send the contract and floor plan with its internal area, address, use, requested loan and deposit evidence.

Ask, “For this owner-occupied apartment, what security restrictions and maximum LVR apply, and which valuation and income documents does this product need?” Include any unusual title or serviced-accommodation feature. The answer must identify the product and the particular security, so it can guide the submission.

For a broker referral, also establish the referral arrangement and submission channel with Yard. Its credit guide describes referrals from brokers. That description alone does not establish a broker accreditation process or permission to lodge through a particular platform.

Retain Yard’s written response with its date and conditions. Update the scenario when the purchase price, valuation, income or loan purpose changes. A response about an earlier scenario cannot resolve a materially different request.

Yard Identity and Home-Loan Fit

Yard is a non-bank lending brand, and the brand name alone does not identify the legal lender for a particular home loan. Yard’s corporate and product documents, checked on 3 October 2026, distinguish the operating companies from the loan’s credit provider.

“Yard Finance” is commonly used to describe the business. Its licensed entity is Yard Financial Pty Ltd, Australian Credit Licence 509481. Yard’s website terms identify Yard Home Loans Pty Ltd and Yard Broker Pty Ltd as its subsidiaries.

ABN Lookup records Yard Home Loans Pty Ltd as an active Australian private company. It holds credit representative authority from Yard Financial Pty Ltd. The searched name “Yard bank” does not change its non-bank status.

Yard’s credit guide, version 3 dated 28 April 2025, describes two roles. Yard Financial can provide credit as the lender, while Yard Home Loans can manage mortgages issued by another credit provider. The guide lists possible lenders including Perpetual Corporate Trust Limited, BC Invest Loans Pty Ltd and Bendigo and Adelaide Bank Ltd.

For the proposed loan, the loan agreement identifies the legal credit provider. Ownership of the Yard operating business and the lender funding a mortgage are separate questions. Keep both names in the client record.

Review the Proposed Loan Against the Client’s Needs

A useful Yard home loan review compares documented fit and contract terms with what the borrower needs. Customer ratings cannot establish income acceptance or property eligibility.

Yard’s variable home loan page describes free additional repayments and redraw, plus an optional 100% offset facility. Its FAQ says offset is unavailable against fixed-rate loans. A split loan can place the offset against the variable portion.

Read the selected product’s fee schedule alongside those features. Yard’s FAQ identifies establishment costs, an offset fee and discharge costs, with terms differing between products. Its credit guide says payable fees are disclosed before lodgement in the Proposal Disclosure Document.

Evaluate the proposed offer across these decisions.

• Establish the loan amount supported by verified income, excluding any component the product does not accept.
• Match the property to the selected product, including the proposed LVR and any mortgage insurance condition.
• Weigh the borrower’s expected offset or redraw use against the relevant fees and access conditions.
• Choose a fixed, variable or split structure that fits planned extra repayments and a possible early sale or refinance.
• Assess repayments after an interest-only period ends, if that structure is proposed.

Record the trade-off that decides the recommendation. A business owner might value alternative income evidence, while another borrower might need unrestricted additional repayments. Proceed when the chosen product meets the documented needs and Yard’s scenario conditions are satisfied.