Key Takeaways
- A bank can only offer its own products and assess against its own policy, while a broker compares a panel of lenders, which matters most when a deal is complex.
- For accountants the deciding factors are access to professional concessions such as waived LMI and the correct reading of self-employed or partnership income, both of which vary widely by lender.
- Going direct can still suit a straightforward salaried application at a low loan-to-value ratio, or where your own bank already offers strong pricing.
- A broker typically costs you nothing directly, being paid by the lender, but quality varies, so checking accreditation and experience matters.
When it is time to arrange finance, accountants face the same first decision as everyone else: deal directly with a bank, or use a mortgage broker. With variable rates around the 6% mark and lenders assessing every application at the actual rate plus 3 percentage points, the choice has real consequences for what you can borrow, what you pay, and whether the concessions tied to your profession are even put on the table. The honest answer is that it depends on your situation, and the deciding factors for an accountant are slightly different from those for the general borrower.
Weighing those factors properly is where a mortgage broker for accountants earns consideration, though there are cases where going direct works perfectly well. This article sets out what each path offers, why the difference matters more for accountants, when going direct still makes sense, and a simple way to decide.
The Real Question Is Access and Fit
It helps to reframe the decision, because broker versus bank is really a question of access and fit. A bank can only offer its own products and can only assess you against its own credit policy, whereas a broker works across a panel of lenders and matches you to the one most suited to your profile. The majority of new home loans in Australia are now arranged through brokers, largely because that breadth reduces the chance of a decline and improves the odds of the right outcome, particularly when an application is anything other than simple.
What Going Direct to a Bank Offers
Dealing directly with a bank has genuine merits, and it is worth being even-handed about them. For some borrowers it is the simpler path.
If you have a long relationship with your bank, it may know your finances well and occasionally offer perks reserved for direct customers. The process can feel familiar, and for a straightforward application the difference between going direct and using a broker may be small. The limitations are equally real: a bank sees only its own products, applies only its own policy, and its staff are not obliged to tell you that another lender would lend you more, charge you less, or waive a fee your profession qualifies for. If your situation falls outside that bank’s policy, the likely outcome is a decline rather than a referral elsewhere.
What a Mortgage Broker Offers
A broker’s value comes from breadth and from a duty that bank staff do not carry. Understanding both helps explain why brokers now arrange most loans.
A broker compares products across many lenders, knows which ones offer concessions to your profession, and manages the application through to settlement. Importantly, since 2021 mortgage brokers have been bound by a Best Interests Duty, a legal obligation to act in your best interests, which does not apply to a bank employee selling that bank’s own products. Brokers are generally paid by the lender on settlement rather than by you, so the service is usually free to the borrower. The caveat is that quality varies, so it is worth checking a broker’s accreditation with the Australian Securities and Investments Commission (ASIC) and asking about their experience with complex files before engaging them.
Why the Difference Matters More for Accountants
For most professions the broker-versus-bank choice is finely balanced, but three features of accountants’ circumstances tilt it further. Each is something a single bank is poorly placed to handle.
Accessing Professional Concessions
Eligible accountants can have Lender’s Mortgage Insurance (LMI) waived up to 90% loan-to-value ratio (LVR), and sometimes 95%, along with negotiated rate discounts. The difficulty is that only a select group of lenders offer these, and your own bank may not be one of them, or its branch staff may not be trained to apply the waiver. A broker knows which lenders currently extend the concession and how to request it correctly.
Reading Complex or Self-Employed Income
Many accountants are self-employed, partners, or earn variable income, and lenders assess that income very differently. One bank may count only base salary while another recognises retained company profit or a partner’s profit share, and the gap can run to hundreds of thousands of dollars in borrowing power. A broker can present your income to a lender whose policy reads it favourably.
Matching Policy to Your Profile
Two lenders looking at identical financials can reach very different conclusions because of how they treat bonuses, existing debts, or living expenses within the same Australian Prudential Regulation Authority (APRA) framework. Matching your specific profile to the lender with the most suitable policy is the part a single bank cannot do, since it only has one policy to offer.
When Going Direct Can Still Make Sense
None of this means a broker is always the right answer, and it is worth saying so plainly. There are situations where dealing directly is perfectly reasonable.
If you are a salaried (Pay As You Go, or PAYG) accountant with a straightforward income, a sizeable deposit that keeps you under 80% LVR, and a clean credit history, your application is simple enough that most lenders would approve it, and your own bank may offer competitive pricing without the need to shop around. Similarly, if your existing lender has already extended you a strong rate and you are not seeking a professional concession or a complex structure, the benefit of switching may be marginal. The case for a broker grows in proportion to the complexity of your situation and the value of the concessions you could access.
A Simple Way to Decide
The decision becomes clearer once you weigh your situation against a few practical questions. The following tend to point you in the right direction.
- If you are self-employed, a partner, or have variable income, lean toward a broker who can match your income to the right lender.
- If you want to access a professional LMI waiver or rate discount, a broker is better placed to know which lenders offer it.
- If your application is simple, your deposit is large, and your bank’s pricing is already strong, going direct may be enough.
- Whichever you choose, confirm any broker’s accreditation and experience, and ask your own bank directly whether it offers the professional concessions you may qualify for.
Frequently Asked Questions (FAQs)
Is a mortgage broker always better than a bank for accountants?
Not always, but often. A broker compares many lenders and can access concessions and income treatments a single bank cannot, which matters most when your income is complex or you want a professional waiver. For a simple salaried application at a low LVR with a strong existing relationship, going direct can be perfectly reasonable.
Will my own bank tell me about accountant home loan concessions?
Not necessarily. A bank can only offer its own products, and even where it has a professional policy, branch staff are not always trained to apply it, and they are under no obligation to tell you another lender would do better. It is worth asking your bank directly, and comparing the answer against what a broker finds.
Does using a broker cost me anything?
Usually not. Brokers are generally paid a commission by the lender on settlement rather than charging the borrower, so the service is typically free to you. A small number do charge fees in particular circumstances, so it is sensible to confirm this at the outset.
What is the Best Interests Duty, and why does it matter?
It is a legal obligation, in force since 2021, requiring mortgage brokers to act in your best interests when recommending a loan. Bank staff selling their own employer’s products are not bound by it, which is a meaningful difference when you are relying on advice rather than simply choosing a product yourself.
I am self-employed. Does that change the decision?
It strengthens the case for a broker. Self-employed and partnership income is assessed very differently between lenders, and the figure one bank recognises can be far lower than another’s. A broker can direct your application to a lender whose policy reads your income favourably, which a single bank cannot do.
How do I know if a broker is any good?
Check that they are accredited, which you can verify through ASIC, and ask about their experience with situations like yours, particularly self-employed or professional applications. Referrals and genuine client reviews help, and a good broker will explain the process and the trade-offs clearly rather than simply pushing a product.
The Bottom Line
Whether an accountant should use a broker or go direct comes down to access and fit rather than a blanket rule. A bank offers only its own products and policy, while a broker compares many lenders, knows which extend professional concessions, and can present complex income to the lender most likely to recognise it, all while bound by a duty to act in your best interests. For a simple application with a large deposit and strong existing pricing, going direct can be enough. For most accountants, and especially those who are self-employed or seeking a professional waiver, the breadth and the income expertise a broker brings are where the better outcome usually lies.