Subclass 461 visa immigrant home loan
If you are a New Zealand citizen with a spouse on a temporary residents’ 461 visa, you may have been advised that due to your visa status your home loan options are limited. Often misconceptions are;
- You require a 20% deposit or more,
- You are not able to get home loan approval at all,
- You must apply for permanent residency before you qualify.
We specialise in providing assistance to NZ citizens and their temporary resident spouses who are looking to buy a home in Australia. We have solutions for the right applicants up to 95% of the purchase price meaning all you need is 5% deposit plus costs. If you are on a 461 NZ Family Relationship visa read on to find out more.
How much can I borrow?
Generally you should be able to obtain up to 90% and even 95% of the total purchase price of the property. Even if you have been advised that you are only eligible for 80% LVR we have arrangements with some providers which could enable you to borrow up to 95%.
What if I want to borrow over 80% LVR?
It is possible to borrow up to 95% LVR even when you are a New Zealand citizen purchasing with a spouse on a 461 visa. Although many lenders and mortgage brokers might refuse to provide you with more than 80% we may be able to help if;
- Sufficient borrowing capacity – see our borrowing capacity calculator to get an estimate of your borrowing capacity,
- Genuine savings – whilst only a 5% deposit is required, generally this will need to be genuine savings,
- Clean credit history in Australia and NZ,
- Minimum 6 months remaining on current visa (there are always exceptions but as a rule the banks do like to see you have at least 6 months remaining),
- Positive asset position – that is, your assets outweigh your liabilities.
Will I have to pay a higher interest rate?
You will not have to pay a higher interest rate than any other applicant for a home loan in Australia and you will have full access to the range of products offered by financial institutions.
Can I get a home loan with additional features?
If you are looking for extra flexibility from your home loan or a few additional features to make things easier this is not be a problem. The home loans you will be offered are standard loans from mainstream banks and financial institutions and they are no different from the loans offered to Australian citizens and permanent residents. As well as choosing between basic, standard variable and fixed rate options you can have access to a number of attractive features including:
- Offset accounts – an offset account is a savings account which is linked to your home loan and can be used to reduce the interest on your loan.
- Free redraw facility – a redraw facility is a useful feature if you want to make additional repayments to your home loan and have the flexibility to withdraw them on a later basis
- Professional package – a professional package can offer a wide range of features and reduced interest rates in some cases.
- Additional payments – if you want to pay off your home loan ahead of time and reduce the interest having the facility for additional payments can be a great bonus.
- Parental leave – some of our lenders give you the option to pause your mortgage repayments while you are on parental leave from work.
Is Australian Government (FIRB) approval required?
The Australian Foreign Investment Review Board (FIRB) is a governing body set up to monitor and control the investment of money in Australia. If your partner is on a 461 visa you will need to seek approval from the FIRB before your loan can be approved. As a New Zealand citizen you will not need approval, just the spouse who is on a temporary resident visa.
For further information about applying for a home loan in Australia when one of you is on a 461 visa please contact us today on 1300 397 287, even if you have previously been turned down for home loan finance.