- Borrow up to 90% of the property value if you’re an Australian citizen living overseas or in New Zealand.
- Borrow up to 80% of the property value if you’re a self-employed borrower living overseas (case by case basis limited lenders).
- Factors such as your country of residence, the currency you earn, and your visa status can impact the amount you can borrow.
- Your borrowing power:
- When determining your borrowing power, considerations like exchange rate fluctuations, foreign tax rates, negative gearing benefits, and repayments on foreign debts can complicate the calculation and vary among lenders.
- Typically, lenders will assess your borrowing capacity based on a range between 60% and 90% of your actual income, apply Australian tax rates even if you live in a country without income tax, exclude negative gearing benefits, and will use loaded repayments on your foreign loans
- Stamp Duty, Conveyancing fees and LMI.
- Some lenders may utilize Australian tax rates to evaluate your income, potentially restricting your borrowing capacity if you reside in a country with lower tax rates.
- Each lender has their list of acceptable countries and currencies.
- Some lenders may not take into account all of your income to accommodate potential exchange rate fluctuations. Additionally, certain types of income like bonuses, overtime, or overseas rent may be disregarded by some lenders.
- If you are married to a foreign citizen, then some lenders may not accept your partner’s income for loan serviceability & hence your loan application may be declined.
- Loans are to be for Investment purposes only.
- Lenders can accept 80% of rental income.
- Owning an investment property means you will have to file your annual Australian tax returns. Any income, including rental income or funds from the sale of a property, will need to be included in your tax returns at tax time which will help claim any negative gearing as per legislation in effect to assist you in saving income tax.
Documents required could include:
- Visa evidencing you have permission to work overseas
- Passport & D/L / Citizenship evidencing Australian or NZ Citizenship
- 3 months’ pay slips or contract payments
- 3 months’ salary or contract credits verified via recent Bank Statements
- Employment contract
- Employer Details: employer, contact name, address, phone number, and website details.
Working overseas as an expat may make qualifying and applying for a loan more challenging as Expat lending policies are complex it’s best you contact us to discuss your situation in detail. Our experienced consultants can help you better understand your options and guide you through the purchasing process. Fill up the form below or Contact us today at dbijfinance@gmail.com for a free assessment.
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We thoroughly research all lenders on our panel to cater to the unique situations and individual financial goals of each Australian Expat, ensuring we tailor an effective solution for every customer delivering an excellent and unique customer experience
We analyze your financial situation using a Six Sigma approach to customize and Tailor an effective loan solution that aligns with each customer’s financial needs and goals.
We make it easy for qualifying Aussie Expats to arrange finance with Australian banks when purchasing property in Australia. Our services include using your foreign income to evaluate your borrowing capacity, recommending the most appropriate lender, and managing the entire process for you, including all Australian stakeholders such as your Conveyancer/Solicitor, Real Estate Agent and Buyers agent.