Australian Military Bank Home Loans Review for Australian Expats
Australian Military Bank (AMB) is a prominent player in the mortgage market, offering various home loan options to suit different needs. The bank is generally viewed positively by the general public in Australia. The bank is known for its strong commitment to customer service and its focus on providing value for money to its members.
Whether you’re a member of the defence force or a civilian, read on to discover if AMB home loans are the right fit for you.
- Borrow up to 95% of the property purchase price
- Competitive variable and fixed interest rates
- Fee waivers available to Australian Defence Force members
Australian Military Bank Home Loan Options
Australian Military Bank offers the following home loan products to Aussie expats.
Variable Rate Home Loan
Fixed Rate Home Loan
Construction Loan
The variable rate home loan from AMB provides borrowers with flexibility and adaptability. The interest rate on this loan fluctuates in line with market conditions, which means that your repayments may vary over time. When interest rates are low, borrowers can take advantage of reduced repayments. Conversely, if rates rise, borrowers should be prepared for potential increases in their repayment amount.
The variable rate home loan suits those who are comfortable with market fluctuations and value the freedom to make additional repayments without penalties.
For borrowers seeking stability and predictable repayments, AMB offers the fixed rate home loan option. With this loan, borrowers can lock in a specific interest rate for a predetermined period, usually ranging from 1 to 5 years.
During the fixed-rate period, borrowers are protected from interest rate rises, providing them with peace of mind and certainty in their budgeting. However, it's essential to note that fixed rate loans may come with restrictions on additional repayments and redraw facilities.
Building a new home is an exciting endeavour, and AMB's construction home loan is designed to support borrowers through this process.
This loan provides funding in progressive stages as the construction of the property advances. Instead of receiving the entire loan amount upfront, borrowers receive funds in instalments at different construction milestones. This ensures that you have access to the funds you need when required, minimising interest payments during the construction phase.
Australian Military Bank Home Loans Review
Here are the pros and cons of choosing a Australian Military Bank home loan to buy property in Australia.
| Pros | Cons |
|---|---|
Access to exclusive member rates as a mutual bank. | Added fees for international transfers. |
Online applications for convenient access. | Limited branch access for overseas borrowers. |
Offset accounts available to reduce interest costs. | Documentation requirements can be strict. |
No monthly service fees on home loans. | Penalty interest charged for early repayment of fixed loans. |
Allow us to find you the perfect home loan.
Apply online to get expert recommendations with real interest rates and repayments.
Australian Military Bank Home Loan Features
Australian Military Bank offers the following home loan features.
| Feature | Details |
|---|---|
100% Offset Account | Some home loans come with offset accounts, which can help reduce the interest paid on the loan. By offsetting the loan balance with funds in the account, borrowers can potentially save thousands in interest. |
Redraw Facility | The bank offers a redraw facility on certain home loan products, allowing borrowers to access additional repayments made on their loan. This feature can be beneficial for unexpected expenses or investment opportunities. |
Flexible Repayment Options | The bank provides flexible repayment options, including weekly, fortnightly, and monthly schedules. Borrowers can choose the option that aligns best with their financial situation. |
Loan Portability | For those planning to move houses during their loan term, AMB offers loan portability, allowing borrowers to transfer their existing loan to the new property. |
Facts About Australian Military Bank
Australian Military Bank (AMB), founded in 1959, is one of Australia's oldest and most trusted financial institutions. Originally established to cater exclusively to Australian Defense personnel and their families, it has since expanded its services to include all Australian citizens.
The bank offers a range of banking products and services, including savings accounts, transaction accounts, home loans, personal loans, insurance, and superannuation. The bank also has a number of special products and services designed for members of the Defence Force, such as the DHOAS Home Loan, which offers a range of benefits to members who are buying or building a home.
In recent years, AMB has been investing in its digital banking services. The bank has launched a new mobile app and online banking platform that make it easier for members to manage their finances. They are also expanding their range of digital products and services, such as bill payments and money transfers.
How Do I Apply for an Expat Mortgage with Australian Military Bank?
Applying for a home loan as an expat is a straightforward process with Australian Military Bank. Here’s a step-by-step guide to help you get started.
- Check Eligibility: Ensure you meet the bank’s eligibility criteria for expat borrowers. Typically, you need to be an Australian citizen with a steady source of income from overseas.
- Gather Required Documents: Prepare all necessary documents, including identification, proof of income, and details of the property you wish to purchase.
- Submit Online Application: Fill out the online application form on the Australian Military Bank’s website and submit the required documents digitally.
- Await Approval: The bank will review your application and documents and communicate their decision to you in a timely manner.
- Accept the Loan Offer: If approved, carefully review the loan offer, including interest rates and terms, before accepting it.
- Complete the Process: Finalise the loan agreement, and if required, attend settlement to complete the home purchase process.
We can help you apply with AMB or any other lender and assist you throughout the home loan process, even beyond settlement.
Who is Eligible?
Australian Military Bank offers home loans to a range of eligible borrowers, including:
- Members of the Australian Defence Force (ADF)
- Immediate family members of ADF members
- Australian permanent residents living in Australia
- Australian citizens living overseas
- Foreign investors living overseas
To be eligible for a home loan with them, you must meet the following criteria:
- Be at least 18 years old
- Have a good credit history
- Be able to afford the monthly repayments
- Have a deposit of at least 20% of the purchase price
In addition to these general eligibility criteria, there are some specific requirements for borrowers who are not members of the ADF. For example, Australian permanent residents living overseas must have a valid Australian tax file number and must be able to show that they have been living overseas for at least 12 months. Foreign investors living overseas must have a valid Australian visa and must be able to show that they have been living overseas for at least 12 months.
What Documents Do I Require?
Here are the documents that Australian Military Bank typically requires for a home loan from overseas.
Personal Identification Documents
This could include your passport, driver's license, or other government-issued ID.
Proof of Income
This could include your payslips, tax returns, or other documentation that shows how much you earn.
Proof of Assets
This could include bank statements, investment statements, or other documentation that shows your financial assets.
Proof of Residency
This could include your visa, residency permit, or other documentation that shows that you are legally allowed to live in Australia.
Credit History
The bank will want to see your credit history to assess your risk as a borrower. You can get your credit history from a credit reporting agency.
In addition to these documents, they may also require other documentation, such as a letter from your employer or a letter from your bank. The specific documentation requirements may vary depending on your individual circumstances.
Other Related Products from Australian Military Bank
SMSF Investment Loan
The AMB SMSF Investment Loan provides tailored financing solutions for Australians living overseas who want to purchase a residential or commercial investment property in Australia through their self-managed super fund (SMSF).
Key features include:
- Access to AMB’s competitive variable and fixed interest rates
- Ability to purchase multiple properties within your SMSF portfolio
- Minimum loan amount of $150,000
- Maximum LVR of 70% for residential and 60% for commercial property
- Offset account available to reduce interest costs
- Online account access for easy management from abroad
This loan provides SMSF investors residing overseas with a flexible facility to finance property acquisitions in Australia using superannuation funds.
Switching Home Loan
AMB’s Switching Home Loan allows expat borrowers flexibility to switch between variable and fixed interest rates during their home loan term after initially fixing for a minimum of 2 years.
Key features include:
- Make unlimited switches between fixed and variable rates
- Break fixed rates without paying early repayment fees
- Access interest rate discounts by fixing a portion of your loan
- Split loan into different fixed and variable portions
- Certainty of fixed repayments with the flexibility to switch
This provides existing AMB mortgage customers with added control over managing their interest rate exposure while living abroad.
Green Home Loan
The AMB Green Home Loan offers discounts on interest rates to expat borrowers who build or purchase a resource-efficient and environmentally-friendly home in Australia.
Key features include:
- Interest rate discounts for energy and water-efficient homes
- Solar panel and rainwater tank discounts
- Reduced rates for selecting sustainable materials and fittings
- Refinancing discounts available for improving existing property
- Ongoing discounts for maintaining green credentials
This promotes sustainable property investment in Australia for eco-conscious expats.
Need a Home Loan with Australian Military Bank?
Australian Military Bank offers a range of home loan products suitable for various borrower profiles. Its dedication to serving defence force members and the wider community is commendable. If you’re in the market for a home loan, it’s worth exploring AMB’s offerings to see if they align with your needs and preferences, seeing as they provide an excellent option for Australian expats looking to invest in property back home.
Odin Mortgage is the expert in Australian expat home loans. Our experienced brokers make applying for an expat mortgage simple. We can help you identify the most suitable lender and product based on your objectives. Contact us today to discuss your requirements so we can start working on optimising your finance application and negotiate better deals on your behalf!
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Allow us to find you the perfect home loan.
Apply online to get expert recommendations with real interest rates and repayments.
FAQs About Australian Military Bank Mortgage
Are the interest rates competitive compared to other lenders?
AMB offers competitive variable and fixed interest rates to expat borrowers that are comparable to major Aussie lenders.
Does AMB allow family members to help me qualify for an expat home loan?
Yes, AMB may consider family member income if you don’t meet standard eligibility criteria.
Can I split my AMB home loan into multiple portions?
Yes, AMB allows you to split your home loan into different portions with varied interest rates.
How soon can I get loan approval from AMB?
You can usually get a conditional pre-approval from AMB within a few business days after applying.
Can expats make extra repayments on their loans?
Yes, the bank allows expats to make extra repayments, helping them pay off their loans faster.
Does the bank provide currency exchange services?
Yes, Australian Military Bank offers currency exchange services for expats with foreign income.
Is the application process online?
Yes, the bank provides an online application process for expat borrowers, making it convenient for them to apply for and manage their loans.
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