Are you thinking of buying a house in Australia?

Are you on a 457 work visa or have Permanent residency and not sure how this affects you?

Good news – you are able to buy a house in Australia!

Permanent residents are treated the same as Australian citizens so there are no restrictions and you can claim the First Home Owners Grant which is not available for 457 Visa Holders.

If you are currently working on a 457 work visa, there are some restrictions you will need to work through. Here are the main points:

Most Australian banks are open to funding loans to 457 visa-holders depending on circumstances – such as time remaining on Visa, intentions to obtain permanent residency etc.
Some banks may have restrictions and see 457 visa holders as non-residents so it is important to research the bank you wish to go through first.
You are more likely to be approved if you have at least a year left on your visa, most of your savings have been moved to Australia and you have a stable income. Medical professions generally will have no trouble with this
You will not be eligible for the First Home Owners Grant or other benefits unless you are applying with an Australian citizen or permanent resident
You are only allowed to purchase one established dwelling (A house that is already built and has been lived in previously). The property cannot be used for leasing and has to be sold within 3 months if you move. However, you can buy any number of new dwellings which can be used for investment purposes (Buying a block of land and building on it)

If you are a 457 visa holder you will also need to get approval from the Foreign Investment Review Board (FIRB) before purchasing either an established or new dwelling. These applications are quite straightforward and easy to go through. If you are going to be buying an established dwelling through auction you may need to seek approval to bid at each auction you attend. Laws have recently been changed in regards to FIRB approvals however it may still be required for your situation. If you are buying with a spouse or partner who is a Citizen or permanent resident, then you will not need approval. You can check this at: http://firb.gov.au/

NAB (National Australia Bank) has a Health Division specialising in the needs of Medical Professionals. We have a contact in the Health Division, Cathy Williams who specialises in assisting doctors from overseas obtain bank accounts, credit cards and working through the home loan application process.

Please feel free to contact Cathy to discuss all of your banking needs on +61 467 706 879 or via email at cathy.j.williams@nab.com.au