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TOP QUALITY RESIDENCES Strategies For Beginners

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 proper advice the process does not need to be that difficult.

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

A non resident can be split into three broad categories;

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

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

3) Foreign Citizen living overseas.

Each 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 subsequently below.

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

Temporary residents of Australia could be approved home loan finance because of their purchase. Whilst some lenders won’t lend to temporary residents there are lots of 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 then a maximum LVR of 80% applies and a 20% deposit plus costs like stamp duty and legals is required.

2) Australian Citizens Living Overseas MORTGAGE LOAN:

Australian citizens living abroad can also be approved home loan finance even though not resident in Australia. The utmost LVR is 95% therefore a 5% deposit plus costs is required. However, 95% LVR is quite difficult to obtain 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 to 80% LVR thereby requiring a 20% deposit plus costs.

What is required to get yourself 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 difference is LVR limitations with non residents being required to abide by an LVR of 80% for some lenders. As above though, 90% and even 95% can be acquired 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 mortgage loans for Australian citizens living abroad together with temporary residents surviving in Australia. Ki Residences Sunset Way If your house loan has declined or you have already been told a maximum LVR of 80% applies, contact MAP to see should they can assist you obtain a mortgage.

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