Police Bank Home Loan Review for Australian Expats
Police Bank is a customer-owned bank in Australia that was originally founded to provide financial services to police officers and their families. However, the bank now offers its services to the general public as well. The bank has a number of branches and ATMs located throughout Australia, and it also offers online and mobile banking services.
Find out if Police Bank is worth considering for financing your Australian property purchase.
- Borrow up to 90% of the property purchase price
- Competitive interest rates on home loans for expats
- Dedicated home loan specialists to assist expat borrowers
Police Bank Home Loan Options
Police Bank offers the following home loan products for expat borrowers.
Basic Home Loan
Fixed Rate Home Loan
Construction Loan
The Police Bank Basic Home Loan offers a variable interest rate to Australian expats buying property back home. This gives the flexibility to make extra repayments and switch rates. Loan amounts up to $2 million are available to approved expat borrowers.
Police Bank's Fixed Rate Home Loan allows Aussie expats residing overseas to lock in an interest rate for 1 to 5 years. This provides certainty over the repayment amount for the fixed period chosen. After the fixed term expires, the rate reverts to the standard variable rate.
The Police Bank Construction Loan is suitable for Australian expats planning to build property in Australia while living abroad. Features include the ability to finance land purchase, construction costs, and other associated fees. Progress payments are made at each approved construction stage.
Police Bank Home Loans Review
Here are the pros and cons of choosing a Police Bank home loan to buy property in Australia.
| Pros | Cons |
|---|---|
Online applications for Australian expats. | Higher interest rates than some competitor home loans. |
Access to help from an expat home loan specialist. | Can only apply online or by phone, no branches. |
Ability to use foreign income for home loan qualification. | Added fees for international transfers and currency exchanges. |
Repayment flexibility with offset accounts. | Strict lending criteria for expats compared to residents. |
Allow us to find you the perfect home loan.
Apply online to get expert recommendations with real interest rates and repayments.
Police Bank Home Loan Features
Police Bank offers the following home loan features.
| Feature | Details |
|---|---|
Offset Account | An offset account allows borrowers to reduce interest by offsetting the account balance against their home loan. |
Repayment Flexibility | The ability to make additional repayments, redraw funds, or split between fixed and variable portions. |
Online Applications | Police Bank offers online home loan applications for simplicity. |
Downsizer Option | Older borrowers can access equity in an existing property. |
Facts About Police Bank
Police Bank was established in 1963 to serve the police community. It is a member-owned institution, has no shareholders, and is supervised by the Australian Prudential Regulation Authority (APRA).
It offers a wide range of banking products and services, including savings accounts, loans, credit cards, and insurance.
It is a major sponsor of NSW Police Legacy, which provides support to the families of deceased and terminally ill police officers. Police Bank also provides NSW Police Legacy financial and corporate support. They are a major sponsor of the NSW Police Games, an annual competitive athletic event incorporating sports from a number of NSW Police Sporting Clubs.
How Do I Apply for an Expat Mortgage with Police Bank?
Here are the steps on how to apply for an Australian expat mortgage with Police Bank from overseas.
- Contact Police Bank: A mortgage broker can help you understand the eligibility requirements for an expat mortgage and guide you through the application process.
- Provide the Required Documentation: The documentation you will need to provide will vary depending on your circumstances, but it will typically include proof of income, proof of employment, and proof of residency.
- Complete the Application Form: The application form will ask for information about your financial situation and your plans for the property you are buying.
- Undergo a Credit Check: Police Bank will conduct a credit check to assess your ability to repay the loan.
- Receive a Decision: Police Bank will let you know whether your application has been approved or declined.
The application process for an expat mortgage with Police Bank can take a few weeks or longer. The exact time frame will depend on the complexity of your application and the availability of funds.
If your application is approved, Police Bank will offer you a loan agreement. You will need to read the agreement carefully before signing it. Once you have signed the agreement, the funds will be released, and you can buy your property.
Our specialist brokers can work with Police Bank or any other lender to simplify your home loan application and approval.
Who is Eligible?
To be eligible for an Australian expat home loan with Police Bank, you must meet the following criteria:
- You must be an Australian citizen or permanent resident.
- You must have a good credit history.
- You must be able to provide proof of income and assets.
- You must be able to demonstrate that you have a genuine intention to return to Australia.
In addition to these general eligibility criteria, there are also some specific requirements that you must meet if you are applying for an expat home loan with Police Bank. These requirements include:
- You must have been living overseas for at least 12 months.
- You must have a valid visa that allows you to return to Australia.
- You must have a property in Australia that you intend to use as your primary residence.
If you meet all of the eligibility criteria, you can apply for an Australian expat home loan with Police Bank. The application process is similar to the application process for a home loan for an Australian resident. However, there are some additional documents that you will need to provide, such as a copy of your passport and visa.
What Documents Do I Require?
Here are some of the documents that an Australian expat living overseas needs to provide Police Bank to qualify for a home loan with them.
Proof of Identity
This could include a copy of your passport, driver's license, or birth certificate.
Proof of Income
This could include payslips, tax returns, or bank statements.
Proof of Employment
This could include a letter from your employer or a copy of your contract.
Proof of Residency
This could include a copy of your passport, visa, or residency permit.
Proof of Assets
This could include a copy of your investment statements or a valuation of your property.
Credit Report
This will show your credit history and will be used to assess your ability to repay the loan.
Letter of Explanation
This will explain why you are living overseas and why you are buying a property in Australia.
You may also need to provide additional documents, depending on your specific circumstances. For example, if you are self-employed, you will need to provide proof of your income and expenses.
Other Related Products from Police Bank
Permanent Resident Home Loan
This home loan is designed for Australian permanent residents (not citizens) residing abroad who want to enter the Aussie property market. Police Bank offers permanent residents access to up to $2 million in financing at competitive rates.
Applicants can use their worldwide income to qualify and must meet standard eligibility criteria. The permanent resident home loan can be structured with variable or fixed rates, offset accounts, and other flexible features. This product gives PR visa holders who are expats a pathway to purchasing an investment property or future home in Australia.
Investor Home Loan
Police Bank provides overseas investors who are neither citizens nor permanent residents with access to up to $1 million in home financing to purchase Australian real estate. The key advantage is no requirement for the foreign buyer to occupy the property – it can be fully investment-purposed.
A minimum 20% deposit is required, and worldwide income can be used for loan qualification. This product is ideal for foreign buyers wanting to invest in Australia’s robust property market but not live in the country long-term. With the investor home loan, they can purchase Aussie real estate from abroad with no need to take up residency.
Interest Only Home Loan
This home loan from Police Bank allows Australian expats to pay only the interest component of their mortgage repayments for an initial period, generally 1 to 5 years. This provides greater repayment flexibility and can improve cash flow during the interest-only term.
After the interest-only period expires, the loan converts to standard principal and interest repayments. The interest-only home loan can be a way for Aussie expats to enter the market by temporarily minimising mortgage repayment amounts for the first few years of their loan. Principal reductions still occur via any lump sum payments made during the interest-only term.
Need a Home Loan with Police Bank?
Purchasing Australian property from overseas can be a big move. But with the right lender, like Police Bank, and an expat-suited home loan with the help of a specialist mortgage broker, the process can be smooth and secure.
Connect with our team to swiftly start your property investing journey in Australia. As the leading Australian expat mortgage brokers, we can compare numerous home loans and lenders to find the solutions that are ideal for your particular situation. Discuss your circumstances in more detail with one of our brokers today. We look forward to helping take the stress out of your overseas home purchase.
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FAQs About Police Bank Mortgage
What are the interest rates on expat home loans with Police Bank?
The interest rates on expat home loans with Police Bank are typically higher than the interest rates on home loans for Australian residents. This is because expats are considered to be a higher risk borrower. However, Police Bank does offer a number of discounts to expat borrowers, such as a discount for borrowers who have a good credit history.
What are the maximum loan amounts available for expat home loans with Police Bank?
The maximum loan amount available for an expat home loan with Police Bank will depend on your individual circumstances. However, the maximum loan amount is typically capped at 90% of the property value.
What are the repayment terms for expat home loans with Police Bank?
The repayment terms for expat home loans with Police Bank are typically 10-30 years. However, the repayment term may be shorter if you have a shorter period of residency in Australia.
What are the fees associated with expat home loans with Police Bank?
There are a number of fees associated with expat home loans with Police Bank. These fees typically include:
- Application fee
- Establishment fee
- Mortgage insurance premium
- Lenders mortgage insurance
- Stamp duty
Speak with one of our mortgage brokers to learn about all associated fees in detail.
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