Can You Get a Mortgage as an Expat in Australia? Get the Facts Here

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Is the excitement building as you look at properties to invest in, in Australia? We certainly hope it is! But is the only thing standing in your way a mortgage?

The question “can you get a mortgage as an expat in Australia?” needn’t be a hurdle that you cannot clear. The answer you need is in this article and some pretty helpful facts and information about expat mortgages in Australia!

Read this article for the necessary details, and let the property excitement begin!

Can you get a mortgage as an expat in Australia?

Yes, you can get a mortgage as an Australian expat in Australia to answer this briefly. If you are an Aussie expat who resides in an overseas country, you can get a home loan or mortgage in Australia. 

Specific expat mortgage brokers will assist you and give your mortgage recommendations for your situation. And although certain conditions have changed, it is more than possible to get a mortgage as an expat in Australia.

Can You Get a Mortgage as an Expat in Australia Get the Facts Here

Which conditions are available for expats looking for a mortgage in Australia?

Certain conditions are available for Aussie citizens who live abroad and want to get a home loan. The main conditions include early repayments, offset accounts, redraw accounts, interest rates, mortgage types (fixed rate, variable rate, interest only and split rate) and loan term conditions.

Get a free Australian mortgage assessment today.

Apply online to get a free recommendation with real rates and repayments.

Will I get a penalty for making early repayments on my expat mortgage?

With lenders, you won’t receive any penalties for making early repayments. Instead, if you make all repayments and finish repaying your loan, you’ll only have an administration fee to pay.

How much is the administration fee when I have paid off my expat mortgage?

The administration fee is a one-time repayment that ranges between $160 and $600 but usually is approximately $300. It can vary depending on your state, and the administration fee can change each year.

Can you get a mortgage as an expat in Australia with an offset account?

Yes, it is possible to get an offset account as part of an expat mortgage. Choose an offset account to save your funds and then offset the balance of your home loan interest with the funds you have saved.

So, say you have an interest-only expat home loan; your repayments will be reduced by the offset value contained in your offset account.

Can you get a mortgage as an expat in Australia with a redraw account?

Yes, it is also possible to select a redraw account as part of an expat mortgage. Choose a redraw account to make repayments of more significant sums each month and access your funds as you would with credit.

Which expat mortgage rates can I expect compared with permanent residents in Australia?

When comparing home loans for permanent residents in Australia and expat mortgages for Aussie expats overseas that the same lender offers, the interest rates will be equal.

Which options do I have when choosing an expat mortgage?

You’ve got the option to choose between fixed-rate mortgages and variable rate mortgages depending on your personal preferences. You’ve also got an opportunity to select a split loan, which combines both fixed rate and variable rate loan repayments. You can also select an interest-only loan if your goal is to choose the lowest repayments each month and increase your access to funds

Can you get a mortgage as an expat in Australia with a 30-year loan term?

Yes, a 30-year term is possible for Aussie expats—and it doesn’t even matter how old you are! That’s right, you can borrow funds from a lender for a 30-year loan term, even if you’re over the retirement age.

Can You Get a Mortgage as an Expat in Australia Get the Facts Here

Can you get a mortgage as an expat in Australia? What to keep in mind

So, it’s possible to get a mortgage as an expat in Australia. Not only do you have a 30-year loan term available, but you can also get similar interest rates to Australian permanent residents, and you can choose between plenty of products. If you want to start checking mortgage rates and calculations, or if you’re curious to discover more about stamp duty fees, or refinancing, the best broker to consult for your options is Odin Mortgage. We make expat home loans simple.

Get a free Australian mortgage assessment today.

Apply online to get a free recommendation with real rates and repayments.

Can You Get A Mortgage As An Expat In Australia Frequently Asked Questions

Do banks in Australia provide multi-currency home loans?

Unfortunately, banks in Australia do not provide home loans in multiple currencies anymore. You can only get a home loan currency in Australian Dollars. If you’re a foreign citizen or an Aussie expat, it’s possible to borrow your funds in Australian Dollars to purchase a home or investment property in Australia.

How strict are lender policies, and are there any policy exceptions for loan approval?

It can be challenging, if not unlikely, to get around lender policies and expect that policy exceptions can stand in your favour when applying for an expat home loan.

Which processes do lenders use to gauge foreign income?

As part of the assessment phase, lenders will only accept 80% of the gross foreign income you earn to consider currency fluctuation and risk. Because certain currencies are perceived as being more secure (tier 1 currencies), lenders will likely take on 80% of gross income earned in this currency type. But because some currencies are less secure (tier 2 currencies), lenders will reduce this percentage to as low as 50%.

How is stamp duty affected by purchasing a property with a foreign partner?

Purchasing a property with a foreign partner can significantly increase your stamp duty. This is because foreign buyers duty is also applied to the purchase. If you purchase a property for $625,000 with a foreign partner, you’ll have to pay a stamp duty of $27,026 as well as $25,000 in foreign buyer’s stamp duty.

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