How much can an NZ citizen borrow for an Australian mortgage?

Any general questions you might have in regards to loans and finance.
saibo
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Joined: Tue Mar 20, 2018 9:14 pm

How much can an NZ citizen borrow for an Australian mortgage?

Postby saibo » Fri Jul 13, 2018 1:52 pm

Hi Home Loan Experts.

We’re from NZ and are planning to move to QLD. We want to buy a first home. I’m a mechanic at Clear View Motors and my wife works in accounts for the same company. I’m getting transferred to the same company in Brisbane, so getting a new job wouldn’t be an issue (but my wife is to get one!)

We’ve sold our inheritance property and we have NZD 250,000 which could be used as a deposit.

Can you guys let me know the process and the limitation of being an NZ borrower in Australia?

Thank you in advance.

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Otto Dargan
Mortgage Specialist
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Location: Sydney, Australia
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Re: How much can an NZ citizen borrow for an Australian mortgage?

Postby Otto Dargan » Fri Jul 13, 2018 2:38 pm

Hi saibo, Welcome to the forum.

New Zealand citizens living in Australia can borrow up to 95% of the property value while NZ citizens living there can borrow only 80% of the property value.

Kiwis living in Australia are treated in the same way as Australian permanent residents. Therefore the banks and lenders will be the same, and the application process is fairly similar. This is because a resident of New Zealand is able to obtain a Special Category Visa (SCV), giving them the same borrowing rights as a permanent resident of Australia.

In most cases, we can get NZ citizens and NZ permanent residents the same interest rates that are available to Australian citizens.

Also, you might be entitled to the first home owners grant (FHOG) if the property is brand new. You can even use the FHOG calculator to know how much grant amount you can receive.

Please enquire online or call us on +61 2 9194 1700 and explain your situation so we can help you get approved for a home loan as an Australian expat.

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

saibo
Posts: 9
Joined: Tue Mar 20, 2018 9:14 pm

Re: How much can an NZ citizen borrow for an Australian mortgage?

Postby saibo » Fri Jul 13, 2018 5:11 pm

Do we have to pay extra stamp duty due to us being NZ citizens? Also, we’ve found a property online and it seems good. The property price is quoted $600,000. Can I apply for a home loan and come there later at the time of settlement?

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

Re: How much can an NZ citizen borrow for an Australian mortgage?

Postby Otto Dargan » Fri Jul 13, 2018 6:21 pm

Hi saibo,

There might be some complications if you proceed if you apply for a home loan before coming to Australia. For example, if you sign the contract while staying overseas then you aren’t considered a PR.

It’s best you refer to the Queensland Treasury website as they dictate the buyers should be in the country at the time of contract exchange to avoid foreigner stamp duty surcharge.

You could the stamp duty calculator and find out how much you duty you have to pay.

Please note that NZ citizens living in New Zealand and permanent residents of NZ, will be treated the same as any other foreign citizens in Australia. So, it’s better you apply once you come to Australia.

Our mortgage brokers specialise in NZ citizen mortgages and can negotiate with the lenders on your behalf. Speak with one of our credit specialists by calling us on +61 2 9194 1700 or by completing our free online assessment form.

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

saibo
Posts: 9
Joined: Tue Mar 20, 2018 9:14 pm

Re: How much can an NZ citizen borrow for an Australian mortgage?

Postby saibo » Fri Jul 13, 2018 10:35 pm

Thanks Otto, it was quite informative. I’ll discuss this with my wife and call you after a week. Bye.


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