Jcleroux Posted December 24, 2014 Report Share Posted December 24, 2014 Hi a friend of mine is on a 457 visa and wants to buy a house - anyone know if he can ?Thanks in advance Quote Link to comment Share on other sites More sharing options...
SurferMan Posted December 25, 2014 Report Share Posted December 25, 2014 Hi JC,For sure yes they can, but the criteria is normally very high. (read hard) You will need FIRB (Foreign Investment Review Board) approval, but that is a cinch. www.firb.gov.au Most banks would want a ridiculous deposit, from 30% upwards. And they would finance you over the balance of your visa term. That was my experience when I did this a few years ago. Not sure if it has changed, but unlikely that it would have.So for sure he/she can buy, but its not easy. Once you have PR, it gets waaaay easier. Also, try to have a deposit, it helps you avoid the expensive MLI (Mortgage Lenders Insurance) which they levy when you don't have a sufficient deposit. 2 Quote Link to comment Share on other sites More sharing options...
HadEnoughofJuju Posted December 25, 2014 Report Share Posted December 25, 2014 The banks are crazy with loans for people on temp visas like the 457 and as SurferMan said they will more than likely only extend the loan for the validity of the visa so a $450k home loan over 4 years is going to have enormous monthly payments. Quote Link to comment Share on other sites More sharing options...
SurferMan Posted December 25, 2014 Report Share Posted December 25, 2014 Yes when I shopped around all the banks would only consider me if I took my loan over 3 years. Lets be honest, if you can pay a house off in 3 years, do you need a loan!!!!??!! For the rest of us mere mortals, 20-30 years is the norm. You're looking at 11-12k per month! For most people that is too much.I'm sorry the news is not that good on the front, hope your friend wins in the end. Quote Link to comment Share on other sites More sharing options...
Nev Posted December 27, 2014 Report Share Posted December 27, 2014 Yep, found out the same, they will want a huge deposit so if you bail they can sell it to get their investment back, secondly you can only finance for the remaining term of the 457 visa, so if has 3 years left on it you have to finance over less than 3 yearsThe second bit is if you leave the country you need to sell it, non residents are not allowed to own property, yes there is some trouble around that at the moment but that is what the law says, so you couldn't keep it as an investment if the 457 popped. 1 Quote Link to comment Share on other sites More sharing options...
SurferMan Posted December 27, 2014 Report Share Posted December 27, 2014 Bang on Nev.My combat plan is to go solo (which I just have) and level out my short term debt then jump into the market. I am working on a couple of apps with SAP at the moment and if just one comes off, i am sorted. Also, being on my own I can now earn my full day rate, which in SAP terms ranges from $1300-$2500 a day. I can see why the law is what it is though, it makes some sense, sort of.... Quote Link to comment Share on other sites More sharing options...
Riekie Posted January 20, 2015 Report Share Posted January 20, 2015 One thing to consider when buying a house on a 457 visa is if you find yourself in a situation where things don't work out with your work and you have to find another sponsor in a hurry (which may be located in a different city/area). House prices are at a high in Sydney at the moment, so maybe not the best time to buy (not sure where your friend is heading?...) Property is a fantastic investment in Australia, but you have to be able to wait it out through a lengthy cycle to really benefit from it, otherwise you may even have a loss. With only a guaranted 4 years in Oz, it may not be enough time to walk away with a profit. Quote Link to comment Share on other sites More sharing options...
Heather Posted February 8, 2015 Report Share Posted February 8, 2015 You can buy a house on a 457 visa over 30 years, you just have to know who the right bank is to approach. I am a mortgage broker and do this for a living, have helped so many on this site to own their own home. you can borrow up to 80% - so let me know if you are keen, obviously you need to qualify for the loan from a financial point of view. Quote Link to comment Share on other sites More sharing options...
SurferMan Posted February 8, 2015 Report Share Posted February 8, 2015 Hi Heather,That's sort of what I said up top, but what I did not know was the 457 visa/30 year loan. Why don't you enlighten the other forumites (And I!) with a nice post on how this can be done and the rules/controls/requirements? That would be massively helpful and I think it may even end up giving yu some business. :ilikeit: I must say though, 80% is still pretty steep for most of the Saffers I know who have just landedThe rich and famous exempted though! I was not one of them. 1 Quote Link to comment Share on other sites More sharing options...
grootliam Posted February 5, 2018 Report Share Posted February 5, 2018 @Heather for wich company or bank do you work? I might need to get in touch with you. Quote Link to comment Share on other sites More sharing options...
Riekie Posted February 7, 2018 Report Share Posted February 7, 2018 Buying a house in Australia is a whole different ball game! A good starting point is to familiarise yourself with all the jargon & terminology. Agents speak to you like you're supposed to know it all... A-Z Link of terminology: https://www.domain.com.au/advice/a-to-z-of-real-estate-terminology-20160303-gn9s7c/ or https://www.homeloanexperts.com.au/home-loan-articles/real-estate-terminology/ 2 Quote Link to comment Share on other sites More sharing options...
TamTam Posted February 7, 2018 Report Share Posted February 7, 2018 Thanks Riekie - this is awesome! 1 Quote Link to comment Share on other sites More sharing options...
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