Home Loans for Australian citizen in Indonesia

Any general questions you might have in regards to loans and finance.
blimey
Posts: 13
Joined: Thu Feb 25, 2016 2:42 pm

Home Loans for Australian citizen in Indonesia

Postby blimey » Mon Jul 23, 2018 5:52 pm

We are a family that lives in Indonesia. I’m an Aussie and my Indonesian wife works for the British Council in Jakarta and we are thinking of buying an investment property in Melbourne.

My wife has an income of around GBP$40,000 certified by the employer. I’m an engineer at Wijaya Karya and make 1.2 billion Indonesian Rupiah (IDR) a year. We live in an apartment but we don't pay rent or house bills because my wife’s employer takes care of that.

We would like to know how much we need to save for a house deposit because we don't know how much the banks are willing to finance.

We would like to know what are our chances to get a mortgage?

User avatar
Otto Dargan
Mortgage Specialist
Posts: 7021
Joined: Sat Sep 06, 2008 5:55 pm
Location: Sydney, Australia
Contact:

Re: Home Loans for Australian citizen in Indonesia

Postby Otto Dargan » Mon Jul 23, 2018 6:29 pm

Hi blimey,

Australian citizens and Permanent Residents (PRs) can borrow as much as 90% of the investment property with some select lenders in Australia. However, the country you work and the currency you earn will affect the amount how much you could borrow.

Please note that Indonesian Rupiah (IDR) is a secondary currency for Australian lenders and they deal with it less than other primary currencies such as US Dollars, Pound Sterling, and Euros etc. So, this means you may still be able to qualify for a mortgage although your borrowing power may be restricted to 80% of the property value (Loan To Value Ratio).

It means you should allow 20% as a deposit and another 5% of the purchase price to cover the costs of buying a property such as government taxes and legal fees.

Based on our experience in expat and non-resident home loans, we’ve prepared a guide to ‘Buying Property In Australia’. You can get through this page and gather more information.

We are specialists in Australian expat mortgages. Please enquire online or call one of our mortgage brokers on +61 2 9194 1700 to discover if you qualify.

Cheers,
Otto Dargan
Mortgage Broker
P | 1300 889 743
Home Loan Experts

blimey
Posts: 13
Joined: Thu Feb 25, 2016 2:42 pm

Re: Home Loans for Australian citizen in Indonesia

Postby blimey » Mon Jul 23, 2018 7:50 pm

Will my wife being a non-citizen affect our borrowing or the fees that we pay to the government?

User avatar
Otto Dargan
Mortgage Specialist
Posts: 7021
Joined: Sat Sep 06, 2008 5:55 pm
Location: Sydney, Australia
Contact:

Re: Home Loans for Australian citizen in Indonesia

Postby Otto Dargan » Mon Jul 23, 2018 8:56 pm

Hi blimey,

Foreigners who would like to invest or buy a home in Australia are required to obtain approval from Foreign Investment Review Board (FIRB). Since you’re an Australian citizen, FIRB approval is not required even if you are buying with a spouse who is not an Australian citizen.

Foreigner surcharge on stamp duty is applicable for the foreigners and visa holders depending on what state you want to purchase your property.

So, if you’re buying with a partner who is a non-Australian citizen, then you may want to consider just buying in your name.

Call us on +61 2 9194 1700 or complete our free assessment form to talk to one of our mortgage brokers who can get your home loan approved.

Cheers,
Otto Dargan
Mortgage Broker
P | 1300 889 743
Home Loan Experts

blimey
Posts: 13
Joined: Thu Feb 25, 2016 2:42 pm

Re: Home Loans for Australian citizen in Indonesia

Postby blimey » Mon Jul 23, 2018 9:47 pm

Hi Otto, thanks for the information. I’ll email you guys and will see how we can move ahead with this. Bye.


Return to “Home Loan Forum”

Who is online

Users browsing this forum: KeganThib, RidgeNits, WilliamznElubS and 21 guests