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[MoreMore Insights] Can International Students Apply for Home Loan?



When international students study in Australia, some parents buy real estate for them. However, with the popularization of real estate investment in Australia, more and more young students begin to plan for themselves and take the real estate investment in Australia as an opportunity to earn their first bucket of gold in life.


But can international students apply for home loans? The answer is yes.



Ways Students Can Get a Home Loan


Student visa only allows up to 20 working hours per week, so the income of international students could be insufficient. Although it’s a bit harder to get a home loan approved, it’s not impossible. One of the best ways for international students to increase their chances of approval, is to have their parents to be the guarantors.

Other ways include:

Get a job with higher hourly rate;

Decrease the loan amount;

Have a partner working full-time;

Have a good credit history.


What Types of Student Visas will Lenders Accept?


The acceptable types of student visas include:

Student Visa (Subclass 500)

Skilled Recognised Graduate Visa (Subclass 476)

Skilled Graduate Visa (Subclass 485)

Skilled Regional (Provisional) Visa (Subclass 489)


But please also be advised that, there are very limited lenders in the market that can offer home loans to international students. Contact your professional mortgage brokers at MoreMore Finance, to get more insights.



Can Scholarships be Used as Income?


There are lenders that will accept the income you receive from a scholarship. Depending on the type of scholarship, they can provide you with up to thousands of dollars in income for each semester, which could potentially help to boost your chances of approval with a lender.


Do I Need FIRB Approval?


As a general rule, student visa holders will require Foreign Investment Review Board (‘FIRB’) approval when purchasing properties in Australia. There are a few exceptions such as if you are purchasing together with an Australian citizen or permanent resident but generally for most students a FIRB application will be required.


How to Deal With the Property After Student Visa Expires?



Whether you are overseas investors or students studying in Australia, if you buy a house in Australia, then you belong to 'overseas investors'. Since you already bought the property, you can use it as an investment. You do not have to sell when your student visa expires. You can also contact a real estate agent to rent out the property, and then sell it when the market is good.


Are you holding student visa or other temporary visa, and are looking to purchase a property? Contact your mortgage broker to get more informaion.

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