Written by

Steven Lee

Mortgage Director, ODIN Mortgage & Tax

10+ years in Australian banking and mortgage lending

Last reviewed

Updated on: September 29, 2026 View profile →

Not every Australian lender will finance a non-resident borrower, and among those that do, the requirements vary significantly across income verification, acceptable currencies, loan-to-value ratios, and FIRB compliance expectations. In 2026, the non-resident investment property lending landscape includes a mix of major banks, regional lenders, and non-bank lenders, each with distinct policies that are subject to change. Knowing which lenders are actively open to non-resident applications, and what they broadly require, is the first step toward a fundable strategy ^[1][6].

Why Do Non-Resident Borrowers Face Different Requirements?

The core issue is risk assessment. Australian lenders cannot easily verify foreign income the same way they verify domestic PAYG payslips. This article is general information only and does not constitute personal credit advice. As a result, most lenders apply a process called foreign income shading, where they discount the face value of overseas earnings before calculating borrowing power. The shading percentage, acceptable currencies, and verification documents required vary by lender and are not published publicly ^[1][6].

Additional complexity arises from FIRB (Foreign Investment Review Board) requirements. Most foreign nationals must obtain FIRB approval before purchasing residential property in Australia. Australian citizens and permanent residents living overseas are generally exempt from FIRB for most property types, though this should always be confirmed against current FIRB rules for the specific property and buyer profile.

Which 7 Lenders Finance Non-Resident Investment Properties in 2026?

Building on the income verification issue above, the lenders below represent a cross-section of the market, from major banks with selective non-resident programs to non-bank lenders with more flexible assessment criteria. Policies are subject to change; the profiles below reflect general positioning as of 2026 ^[6].

What Do These Lenders Actually Require From Non-Resident Borrowers?

Across the lenders above, the documentation and eligibility requirements share common themes, though the specifics vary by institution and borrower profile ^[1][6].

• Proof of income: Foreign payslips, employer letters, tax returns from the country of residence, and bank statements. Self-employed borrowers typically need additional evidence such as business financials or accountant letters.
• Currency acceptance: Major currencies such as USD, GBP, SGD, HKD, AED, and EUR are accepted by most lenders, but the shading applied to each differs. Some lenders decline income denominated in less common currencies entirely.
• Visa and residency documentation: Australian passport or permanent residency documents, plus current visa or residency permit for the country of residence.
• FIRB approval: Required for most foreign nationals before a loan can be settled. Australian citizens and permanent residents abroad are generally exempt, but borrowers should verify their specific situation.
• Property type: Most lenders restrict non-resident lending to standard residential property. Some exclude new apartments in high-density postcodes or properties in specific geographic areas.
• Minimum loan size: Some lenders apply minimum loan thresholds for non-resident applications, particularly non-bank lenders.

How Does Foreign Income Shading Actually Work?

Foreign income shading is the mechanism lenders use to reduce the assessed value of overseas earnings when calculating borrowing capacity. It is one of the least understood but most consequential variables in a non-resident application ^[1].

For example, a lender that shades foreign income at a certain percentage will treat only a portion of a borrower’s gross overseas salary as usable income for serviceability purposes. The shading rate differs by lender, currency, employment type, and country of income origin. This means two borrowers with identical salaries in different currencies can receive very different borrowing power assessments from the same lender.

Lender-by-lender approaches to foreign income shading vary based on available data from past lending decisions across different borrower profiles and currencies. Different lenders assess and shade foreign income differently, which means your borrowing power may differ significantly depending on which lender reviews your application. The approach taken depends on lender policy and individual borrower circumstances.

What Role Does Non-Bank Lending Play for Non-Residents?

Stepping back from the major bank comparison, a separate consideration is the growing role of non-bank lenders in non-resident financing. Non-bank lenders such as Brighten are not deposit-taking institutions but are regulated under ASIC and the NCCP. They fund loans through wholesale capital markets and often carry more flexible credit policies than the major banks ^[2][5].

For non-resident borrowers, non-bank lenders are often relevant when:

• The borrower is self-employed or has variable contract income.
• The major bank assessment comes in below the required borrowing amount due to aggressive income shading.
• The borrower is a foreign national (not an Australian citizen or PR) with limited Australian credit history.
• The property type or location falls outside a major bank’s risk appetite.

The trade-off is typically a higher interest rate and stricter exit conditions. Borrowers should weigh this carefully against the cost of not proceeding or delaying the purchase.

Frequently Asked Questions

Can a non-resident get an investment property loan in Australia?

Yes. A range of Australian lenders, including major banks and non-bank lenders, offer investment property loans to non-residents. Approval depends on individual circumstances, income type, and lender policy ^[1][6].

Do I need FIRB approval as an Australian expat?

Australian citizens living overseas are generally exempt from FIRB requirements for most property purchases. Permanent residents and foreign nationals have different obligations. Always confirm your specific situation before proceeding.

How does foreign income shading affect my borrowing power?

Shading reduces the portion of your overseas income that a lender counts toward serviceability. The shading rate varies by lender and currency, meaning your borrowing power may differ significantly depending on which lender assesses your application ^[1].

Which currencies do Australian lenders accept?

Most lenders accept major currencies including USD, GBP, SGD, HKD, AED, and EUR. Acceptance of less common currencies depends on individual lender policy, which is subject to change.

Can I settle a property purchase without being in Australia?

Yes. Remote settlement is possible through PEXA, remote signing platforms, and power of attorney arrangements. An experienced broker can guide this process end-to-end.

Is a non-bank lender a safe option for a non-resident borrower?

Non-bank lenders operating in Australia are regulated under ASIC and the NCCP, providing consumer protection equivalent to bank lenders. The main differences are funding structure and credit policy flexibility, not regulatory oversight ^[2][5].

What is the difference between an expat loan and a non-resident loan?

The terms are often used interchangeably but can describe different borrower types. An expat loan typically refers to lending for Australian citizens or permanent residents living overseas. A non-resident loan may also include foreign nationals investing in Australian property. Lender policies, LVRs, and documentation requirements differ between these groups and depend on individual circumstances and lender policy.

References

1. Australian mortgages and home loans for non-residents: US guide – Wise (wise.com)
2. Brighten | Reshaping non-bank lending (brighten.com.au)
3. Investment property loans & rates | CommBank (www.commbank.com.au)
4. Using equity to invest or buy another home | Home loan guide – NAB (www.nab.com.au)
5. Top Investment Property Lenders in Australia: Guide to Loans (www.finexia.com.au)