More Professionals Can Now Qualify For An LMI Waiver

A new home loan policy means selected banking, technology and senior federal government employees may now qualify for an LMI waiver. Eligible borrowers may be able to purchase or refinance with just over a 10% deposit or equity, without paying Lenders Mortgage Insurance.

The policy update, effective from 18 June 2026, represents a significant expansion beyond the medical professions traditionally associated with LMI waivers.

Which Professionals Can Now Qualify For An LMI Waiver?

The new professional groups include selected employees in:

• Banking
• Technology
• Senior Australian Public Service positions

Each category has its own eligibility and evidence requirements.

Can Bank Employees Qualify For An LMI Waiver?

Yes. Selected employees of major Australian banking groups and associated brands may qualify for an LMI waiver.

To be considered, the applicant must generally:

• Be a full-time or part-time PAYG employee
• Be employed directly by an eligible banking organisation
• Not be working through an employment or recruitment agency
• Have completed at least six months of continuous employment with the organisation
• Acceptable evidence may include an employment contract, a letter on the employer’s letterhead or a current payslip showing the employee’s commencement date.

This category is based primarily on the applicant’s employer and employment arrangement, rather than a specific banking job title.

That means professionals working in areas such as lending, technology, operations, risk, compliance, finance, human resources or customer service may potentially qualify, provided their employer and employment arrangement meet the policy.

Contractors working within an eligible bank are generally not included under this category.

Can Technology Professionals Get An LMI Waiver?

Yes. Direct PAYG employees of selected major technology companies may qualify after at least six months of continuous employment.

Eligible technology employers include:

• Adobe
• Alphabet
• Amazon
• Apple
• Atlassian
• Meta
• Microsoft
• Salesforce
• Xero

Applicants must be employed directly by the eligible company on a full-time or part-time PAYG basis. Agency contractors and other externally contracted workers are not eligible under this category.

The policy does not require the applicant to hold a technical role. This means eligibility may potentially extend beyond software engineers and developers to other direct employees of the eligible company, subject to confirmation and the lender’s full assessment.

Evidence of the employment commencement date must be provided by an employment contract, an employer letter, or a suitable payslip.

Can Federal-Government Employees Get An LMI Waiver?

Selected federal government employees may qualify if they work directly for an eligible ministerial department and hold an APS6, EL1, EL2 or Senior Executive Service position.

The eligible employment bands are:

• APS6
• Executive Level 1, or EL1
• Executive Level 2, or EL2
• Senior Executive Service, or SES

The applicant must be a full-time or part-time PAYG employee directly employed by an eligible federal ministerial department.

Employees of selected departments covering areas such as defence, education, finance, foreign affairs, health, home affairs, infrastructure, social services and treasury may potentially qualify.

However, the policy does not cover all government workers.

The following are generally excluded:

• APS1 to APS5 employees
• State-government department employees
• State police and corrective-services employees
• State health and education department employees
• Employees of federal agencies that are not included as eligible ministerial departments
• Contractors working through an external agency

Applicants need to provide evidence of both their eligible employer and employment band, usually through a current payslip, employment contract or employer letter.

Could Your Employer Help Waive LMI?

Eligible bank, technology and senior APS employees could save thousands when buying or refinancing.

GET A FREE ASSESSMENT

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How Much Can Eligible Professionals Borrow Without LMI?

The maximum loan depends on both the loan amount and the property’s lender-assessed value.

Loans Up To $2 Million

Eligible professionals may be able to borrow up to $2 million per property at a maximum 90% LVR.

In practical terms, this means the borrower needs slightly more than a 10% deposit or equity, plus purchasing costs.

Loans Up To $3 Million

Eligible professionals may be able to borrow up to $3 million per property at a maximum 85% LVR.

This requires slightly more than a 15% deposit or equity.

Total Limit Per Borrower

The total amount of lending covered by the LMI waiver is limited to $5 million per borrower.

These figures are maximum policy limits. They do not represent guaranteed borrowing capacity or approval.

The actual amount a person can borrow will depend on factors including:

• Income
• Living expenses
• Existing home loans
• Credit-card limits
• Personal loans and other debts
• Dependants
• Credit history
• Interest-rate buffers
• Property type and location

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What Is An LMI Waiver?

An LMI waiver allows an eligible borrower to take out a home loan above 80% of a property’s value without paying Lenders Mortgage Insurance.

Lenders Mortgage Insurance (LMI) is usually required when a borrower has less than a 20% deposit. Although the borrower pays the premium, the insurance protects the lender, not the borrower.

An LMI waiver can therefore reduce the upfront cost of buying a home or refinancing an existing property.

For example, a professional buying a $1 million property at 90% LVR could potentially borrow up to $900.000. They would need at least $100,000 towards the purchase price, plus stamp duty, legal fees and other purchasing costs.

The lender’s valuation is used to calculate the LVR, so a valuation below the purchase price may increase the deposit required.

What Can The LMI Waiver Be Used For?

The professional LMI waiver may be available for:

• Buying an owner-occupied home
• Buying an investment property
• Refinancing an existing home loan
• Constructing a home or investment property
• Renovating an eligible property

Principal-and-interest repayments are generally required.

Standard interest-only loans are excluded, although an exception may apply to eligible construction lending during the construction period. Business-loan products are not included.

How Much Deposit Does An Eligible Professional Need?

An eligible professional may need slightly more than:

• 10% deposit for a loan below 90% LVR and within the $2 million per-property limit
• 15% deposit for a loan below 85% LVR and within the $3 million per-property limit

Purchasing costs must generally be funded separately. These can include:

• Stamp duty
• Conveyancing and legal fees
• Building and pest inspections
• Government registration fees
• Loan-related costs
• An allowance for any valuation shortfall

For example, a 10% deposit does not necessarily mean that 10% of the purchase price is the total amount of cash required.

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Who May Not Qualify?

An applicant may not qualify under this professional LMI-waiver policy when:

• They are not currently employed
• They are a student or a retiree
• They are an agency contractor where direct employment is required
• Their application relies on foreign income
• They require a standard interest-only home loan
• They are using a family-support guarantee
• They hold only a student or provisional professional membership
• Their employer, department or professional registration is not eligible
• Their property is an unacceptable security risk
• The property is in a restricted postcode or regional category
• The purchase involves certain high-density or off-the-plan properties
• Their residency or overseas-working circumstances fall outside the policy
• The loan is a business loan product

The property, borrower and loan structure must all meet the lender’s standard criteria. Being employed in an eligible profession does not override normal credit assessment requirements.

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Why Does This LMI-Waiver Expansion Matter?

Traditionally, the most widely recognised professional LMI waivers have been reserved for doctors, dentists and selected medical specialists.

The inclusion of banking, technology and senior federal government employees gives more professionals the opportunity to enter the property market without waiting until they have saved a full 20% deposit.

An eligible borrower may be able to:

• Buy a property sooner
• Avoid a potentially significant LMI premium
• Retain more money as an emergency buffer
• Keep funds available for renovations or other purchasing costs
• Refinance without contributing enough cash to reduce the loan to 80% LVR

The right option will still depend on the borrower’s overall financial position. Avoiding LMI is valuable, but it should be considered alongside the interest rate, fees, loan features and total cost of the home loan.

How Do You Find Out Whether You Qualify?

Start by checking four things:

• 1. Your profession or employer: Is it included under the current policy?
• 2. Your employment arrangement: Are you a direct PAYG employee rather than an agency contractor?
• 3. Your employment history or registration: Do you meet the six-month requirement or hold the required current professional membership?
• 4. Your deposit and property: Does the proposed loan fit within the LVR, loan-size and acceptable-property requirements?

At Home Loan Experts, we can assess these details before an application is submitted and determine whether this professional LMI waiver or another lender policy is the better fit.

Could Your Profession Help You Avoid LMI?

• You no longer need to be a doctor to have access to a professional LMI waiver.
• Selected professionals working in banking, technology, law, accounting, actuarial services and senior federal government positions may now be able to buy or refinance with less than a 20% deposit and no LMI.
• However, the details matter. Your employer, PAYG status, length of employment, registration, property and loan structure must all meet the applicable requirements.

Speak with Home Loan Experts to find out whether you qualify for an LMI waiver before submitting your home loan application.

Call us on 1300 889 743. or enquire online today.

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