6 Things You Should Do
to Get Australian Expat Home Loans

Expatriates | 15 Jul, 2019

6 Things Australian Expats Should Do to Get a Home Loan

You’re one of many Aussie expats earning a crust abroad. Sure, your lifestyle comes with some perks, not to mention being able to explore the world! But, it’s likely that you see the sum of your endeavours as a justifiable sacrifice in securing your financial future. That’s why you’re focussed on securing a loan to buy some real estate back home. It’s all a part of your plan in putting down roots and getting your money to work for itself. But getting Australian expat home loans can be daunting. 

Read on to discover six things Australian expats should do to secure a home loan.

6 Things You Should Do to Get an Australian Expat Home Loan

1. Debunk the myths surrounding your chances of getting a home loan

Like with most things in life, it’s crucial not to jump in headfirst – especially when you don’t know your depth. Before you explore home loan requirements and compare loans, let’s take a minute to debunk a couple of common myths. Then, you should feel much more confident about going ahead with your home loan journey.

The perception that there is a crackdown on expat lending is mostly misleading and is based on generalisations. While it’s true that most lenders have toughened the criteria for foreign investors of Australian property, Australian expats do not fall into this category.

Also, you won’t need to obtain approval from the Foreign Investment Review Board. This is applicable to foreign investors and temporary residents only. It doesn’t refer to Australian expat home loans where you just want to buy a house back home.

2. Review relevant factors that can impact Australian expat home loans

Whilst there’s good news for those Aussie expats seeking a home loan, it’s still important to be realistic about all factors that come with the territory. You will be subject to certain conditions in all instances where you earn money in a foreign currency.

For example, the fluctuating nature of foreign currency exchange rates means that most lenders will want to manage this risk. In assessing your application, they will usually take just a percentage of your entire overseas income into consideration. They’ll also factor in foreign tax rates and any foreign debts and liabilities. 

Keep in mind that each loan provider will have their own approach to assessing foreign income. So, it’s important to do your research and shop around.

3. Know the parameters in what you can borrow

There are some common parameters in expat loans. These statistics can help you to know what to expect when seeking out a home loan:

  • Australian permanent residents living overseas can borrow up to 80%.
  • Australian citizens living in New Zealand can borrow up to 80% to purchase an investment property.

Also, you’ll find that some types of foreign incomes are more readily welcomed than others. When it comes to Australian expat home loans, the following forms of foreign currency are commonly accepted: 

  • British Pound Sterling
  • US Dollar
  • Euro
  • Singapore Dollar
  • New Zealand Dollar
  • Canadian Dollar
  • Hong Kong Dollar

4. Prepare your documentation and maintain its validity

You will need certain forms of documentation to proceed with an expat home loan. It’s advisable that you keep the following information in an accessible location and maintain its validity, where possible:

  • Proof of income (six months of bank statements, your two last payslips and an employment letter)
  • A copy of your passport 
  • Visa documentation

5. Look past the obvious options in lenders

With an expat home loan, the amount you can borrow and the conditions of your loan contract will differ – depending on the individual lender involved. This makes having access to a wide variety of banks and non-bank lenders so important in finding the most suitable loan for your personal situation.

For example, some lenders will use the tax rate of the country that you reside in as an expat (rather than Australian tax rates). This may improve your borrowing power. Look past the obvious options, like the major banks, to get the most competitive rate.

6. Form a close relationship with a finance specialist

We’ve left this til last, but this is probably the most important of all the things that Australian expats should do to secure a home loan. All points so far lead to one logical conclusion: the benefits of using a good broker cannot be underestimated.

A broker can help you to access specialist lenders that are expat-friendly. It’s reassuring to know that you can have a rewarding relationship with a finance specialist, even when you are located off-shore. They can facilitate the entire process of securing an Australian expat home loan. So, you can rest easy knowing that not a single set in the process will be missed.

Stapleton Finance is your expat finance specialist in Australia. We’d love to help your money work for you here in Australia while you’re living and working abroad.


Book Now


Knowledge. Communication. Connection.

Sharing is caring!

Related Content

Mortgage Refinancing: Helping an Ashgrove family get a better than market rate interest rate

Late last year we were contacted by a family who were looking to get a better interest rate on their current mortgage. In 2020 they had done an extensive renovation on their family home in Ashgrove to accommodate their three growing children. This left them with a fairly sizeable mortgage to service. While they weren’t […]

Read More

Tackling the Expat Property Journey Requires an Expert Team

Since 2020, there are more and more Australian expats buying property in Australia, even those that remain living abroad. They aren’t alone. Though foreign property investment has dropped since 2020, experts believe that Australia’s reputation has soared because of our strong management of the pandemic. And many investors that might previously have looked for homes […]

Read More

Elite Broker Podcast – ‘How this broker provides finances across the Pacific Ocean’

I had the immense pleasure of speaking with Annie Kane on the Elite Broker podcast. This is what we talked about. Obtaining commercial and home funding has traditionally been difficult for both expats and the self-employed. Lenders often class expats as non-standard borrowers. The self-employed can sometimes struggle to show a stable income and continuity […]

Read More