Home Loan Advice Centre guides you through the entire home buying journey, without charging you for our service. Click here for our 5 minute online enquiry page . We’ll assess your loan options and send you a full report of your capacity.
The amount you can borrow is affected by your income, your deposit, and bank’s serviceabilty criteria which is linked to interest rates, cost of living, and your existing liabilities etc. See our Borrowing Power calculator for a rough estimate.
Home Loan Advice Centre helps borrowers Australia-wide. We specialise in Sydney and NSW and regularly help clients in remote areas and other states. Feel free to contact us on 02-9210-1000 or 1300-729-177 to see how we can help you.
There are a number of categories which fall under the category of loans to non-residents. The most common category are applicants who are living and working in Australia but are not Australian citizens nor permanent residents. Similarly, there may be applicants who are foreigners and who also live and work overseas who may be interested in purchasing property within Australia. Finally, there may be Australian citizens who currently live and work overseas but who may want to purchase back in Australia for the future.
Foreigners Living And Working In Australia (Non-Permanent Residents And Non-Citizens)
Temporary Australian residents who currently live and work in Australia and earn income in AUD$ may be able to borrow up to 90% including mortgage insurance depending on their visa type. Purchases of existing property can only be done for owner occupied purposes. Purchases for investment purposes can only be done if the property is a brand new unlived in property.
All purchases would also need government foreign investment review board approval
Overseas and temporary residents are fine to purchase a property jointly with an Australian citizens, and can have standard 95% lending.
Australian Citizens Living And Working Overseas Purchasing Property In Australia
Australian citizens or permanent residents who currently live and work overseas and earn income in a foreign currency are able to purchase property in Australia usually under standard bank policy. Often banks will place an exchange rate buffer on their income to make allowances for exchange rate fluctuations. For example, a bank may scale down the income of an Australian living and working in the USA earning the equivalent of $100,000 AUD$ per year to say, $80,000 per year, because exchange rates can quickly fluctuate adversely reducing the applicant’s income below the “current” $100,000 AUD$ equivalent level. Provided the income is sufficient, borrowers falling under this classification may be able to borrow up to 95% including mortgage insurance dependent on the country they work in and the currency they earn income in.
Foreigners Living And Working Overseas Purchasing Property In Australia
An overseas citizen living and working overseas and earning foreign currency can only buy off the plan/brand new properties as investment. Applicants would need foreign investment review board approval and likely would need to have a substantial deposit as lenders may restrict maximum loan to value ratios below 80%.