How To Take The Headache Out Of TOP QUALITY RESIDENCES

Just because you certainly are a non resident of Australia does not mean you cannot purchase property in Australian and arrange mortgage finance for that purchase. Whilst mortgage approval criteria for non residents is stricter than for permanent residents/citizens, with the right advice the process doesn’t need to be that difficult.

What is a non resident for the purpose of this article?

A non resident can be divided into three broad categories;

1) Temporary resident currently surviving in Australia with out a permanent resident visa,

2) Australian Citizen living overseas (Australian Expat), or

3) Foreign Citizen living overseas.

Every one of these categories calls on completely separate policies, rules and procedures from both a legislative perspective and a banking perspective. Each category is dealt in turn below.

1) Temporary residents currently residing in Australia without a permanent resident visa:

Temporary residents of Australia can be approved home loan finance because of their purchase. Whilst some lenders won’t lend to temporary residents there are many that will and therefore the key to getting approved is applying with the right bank!

Temporary residents could be approved up to 95% if purchasing having an Australian citizen, NZ citizen or a permanent resident. If however all applicants are non residents a maximum LVR of 80% applies and a 20% deposit plus costs like stamp duty and legals is necessary.

2) Australian Citizens Living Overseas Home Loan:

Australian citizens living abroad may also be approved home loan finance despite the fact that not resident in Australia. The maximum LVR is 95% therefore a 5% deposit plus costs is necessary. However, 95% LVR is quite difficult to get with the banks being convenient at the 90% LVR mark requiring a 10% deposit plus costs.

Please be aware that Australian Permanent Residents living overseas aren’t treated like Australian Citizens living overseas and fall under category 3 below UNLESS purchasing having an Australian Citizen.

3) Foreign Citizens Living Overseas Mortgage:

Foreign citizens living abroad (including Australian permanent residents living overseas) are limited by 80% LVR thereby requiring a 20% deposit plus costs.

Ki Residences Sunset Way What is required to get a mortgage loan approved as a Non Resident?

Normal lending policy applies regarding income, stability of employment, asset position and clear credit history. The only real difference is LVR limitations with non residents being necessary to stick to an LVR of 80% for most lenders. As above though, 90% and even 95% is available for non residents providing the application form is lodged to the right bank with favourable non resident policy.

Craig Vaughan is a Non Resident MORTGAGE LOAN expert. His company MAP HOME LOANS specialises in home loans for Australian citizens living abroad and also temporary residents surviving in Australia. If your home loan has declined or you have been told that a maximum LVR of 80% applies, contact MAP to see should they can assist you obtain a mortgage.