Hi Rummaging,
You can get a home loan with workers compensation and depending on your overall situation, you may be able to borrow up to 95% of the purchase price on a case by case if the workers’ compensation is permanent at least 5 years.
Note that some banks will not accept more than 50% of your income protection payments. However, some of our lenders can accept 100% of income protection payments under certain conditions.
If you go for this loan, it must be paid by the time your retire and stop receiving payments so there's a shorter loan term. Alternatively, you can provide the lender with a financial planner-approved exit strategy so you have a chance at qualifying for a longer loan term.
You should also know that permanent disability compensation income is more likely to be accepted whereas temporary disability compensation income will be assessed case by case depending on the nature of the injury or illness.
You can go through our website to learn more or simply give us a call on 1300 889 743 or even just enquire online to discuss it with an expert mortgage broker.
Cheers,
Otto
Can I use my worker's compensation to get a home loan?
- Otto Dargan
- Mortgage Specialist
- Posts: 7730
- Joined: Sat Sep 06, 2008 5:55 pm
- Location: Sydney, Australia
- Contact: