Overseas Borrowers
Austral is pleased to lend to non-Australian residents and overseas borrowers.
In fact, much of our internet business comes from Australians living abroad.
If you would like us to we can help you with all aspects of your Australian property purchase, including making contact with Solicitors, Valuers and Real Estate Agents on your behalf.
How to Qualify (for non-Australian Residents)
NZ Based Borrowers
 Overseas borrower restrictions do NOT apply to New Zealanders wanting to purchase in Australia.
In the past there were guidelines imposed by mortgage insurers that required rental income to cover interest payments which in turn limited the amount one could borrow.
Recently the mortgage insurers lifted these restrictions so that New Zealanders can apply for the same loan products on the same basis as Australian Permanent Residents or citizens.
Please visit our Trans Tasman Finance page for all relevant information.
All other Overseas Based Borrowers
 As a non-Australian resident, your property purchase must be for investment purposes. You must intend to rent your new property.
The Maximum Loan to Value Ratio is 75%. This means you need at least a 25% deposit. As a rule of thumb, acquisitions costs usually equate to around 5% of the purchase price.
You will need someone to act as your Power of Attorney for the signing of the Mortgage and related documents. An Australian solicitor can usually establish a Power of Attorney for a small fee (usually around $200). We would be pleased to introduce you to an appropriate solicitor.
FIRB Approval
As an overseas borrower wanting to purchase in Australia you must obtain approval from the FIRB (Financial Investment Review Board) before you settle on a purchase. There are some exemptions. If you do not have FIRB approval when you exchange contracts make sure that your contract is subject to FIRB approval.
How long will an application take?
FIRB is required to make a decision within 30 days of receiving a statutory notice with another 10 days in which to advise the parties of the decision. That time period may be extended by a further 90 days if necessary.
Government policy on the acquisition of residential property by non-Australians is broadly as follows:
“The Government seeks to ensure that foreign investment in residential real estate increases the housing stock. The Government, therefore, seeks to channel foreign investment into activity that directly increases the supply of new housing (that is, new developments - house and land packages, home units, townhouses, etc) and brings benefits to the local building industry and their suppliers.
The policy on developed residential real estate is negative. The effect is twofold. First, it helps reduce the possibility of excess demand building up in the existing housing market and secondly, it aims to encourage the supply of new dwellings, many of which would become available to Australian residents, either for purchase or rent, therefore maintaining greater stability of house prices and the affordability of housing for Australians.”
There are different guidelines for the acquisition of commercial property, rural property, accommodation property etc.
For more information and details on how to apply for FIRB approval go to:
http://www.firb.gov.au/content/real_estate.asp
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