The challenges of the pandemic have been felt across different industries, with the housing market in Australia being one of the affected. The global financial crisis has also resulted in changes for expats who are considering a home loan whilst staying outside of Oz, but don’t fret. There is still a good possibility of you being approved for that coveted home loan. 

First, let’s get to the changes in Australian expat home loans that you need to know: 

30-year mortgages still exist

Good news for those who are banking on a longer mortgage duration to lower the monthly payments. You can still get a 30-year mortgage even if you are in an older age bracket. Talks of capping it off to retirement age have not been finalized yet. 

Split-type mortgages help ride a fluctuating market 

Fixed-rate and variable-rate mortgages each have their pros and cons, and it may sometimes be hard to choose which would be favorable for you, especially considering the mortgage would span years. Thankfully, a split-type mortgage exists, as in you would have a part of it fixed-rate whilst another is of a variable rate, allowing you to take advantage of market conditions to pay a more favorable interest rate. 

Foreign ownership may result in higher costs 

If you are an Aussie married to a foreigner, there are rules to follow regarding the processing of your home loan. For instance, if the Australian half of the marriage earns more, there should be no worries, but if a foreign partner earns more, there might be other costs associated with the home loan. You can, of course, choose to borrow as an Aussie and have your partner as a co-borrower without their name being necessarily part of the title. 

Homeownership is one of the biggest decisions you would ever make in your lifetime. Make sure you know the updated rules before you spend months on the application process. 

For more information,visit: Odin Mortgage