Foreword
For foreign students who have no income, can they buy a house with an Australian loan? I heard that Australian loans require detailed income certificates. Do international students need to provide income certificates? Do Australian mortgages require collateral? Can assets in China be used as collateral for Australian loans? It seems that most of Australia is existing houses, and the full payment must be paid within 42 days. I do n’t know how to operate the loan from the bank. Such issues as Wanjia today unified the problem of foreign students buying houses, bringing today ’s push.
By law
Regardless of whether the international student has a temporary visa that allows them to stay in Australia for more than 12 months, they can apply for FIRB, get approval to purchase vacant land for building, purchase new houses and uncompleted housing, etc. Or investment purpose. In addition, in terms of age, foreign students generally need to be over 18 years old to buy a house in Australia, and there is no strict age limit for others. But younger students who do not have enough income to apply for loans to buy a house may face considerable obstacles. Especially considering that the income of full-time students will be very limited.
According to FIRB regulations, international students holding a 500 study visa (allowing them to stay in Australia legally for more than 12 months) are considered temporary Australian residents, so they can purchase a second-hand house for self-occupation purposes (that is, the resident must use the Property as its main residence in Australia). “FIRB” is short for Australian Foreign Investment Review Board (Foreign Investment Review Board).
Additional attention is required as follows:
a. The visa needs to be sold within 3 months of expiry or departure (that is, within 3 months after the resident stopped using the property as its main residence);
b. Both need to apply for FIRB, the application fee varies according to the house price, the house application fee of less than 1 million is AUD 5,600;
c. It is not allowed to rent or sublet, otherwise it is regarded as a violation of FIRB regulations (that is, the resident shall not lease the property or any part of it, and at the same time, it is necessary to ensure that there is no vacancy and no one lives in the property during the transaction period).
It is important to note that after the expiry of the international student visa, if you continue to hold the second-hand property illegally, you will be subject to a fine of up to 127,500 Australian dollars or three years ’imprisonment, and they may also be punished by 25% of the purchase price.
Can international students purchase Australian housing jointly with their parents?
Many customers or friends will ask who is most suitable as the property owner when buying a house. Is it the name of the individual, the name of the parent or the name of the child? In fact, under the perfect land law and property law system in Australia, joint house purchase is a very flexible way to buy a house, mainly divided into the following two ways:
a. Joint tenancy (Joint Tenancy): When buying a house jointly, unless the buyer makes a special statement, the purchase contract will generally be signed in accordance with the joint tenancy.
b. Share by share (Tenancy in Common): Unlike the above common share, buyers can freely allocate the ownership of the property under the name of each buyer according to the proportion of shares.
Loans
If an international student is going to buy a house to get a loan, please make sure to contact your loan manager and lawyer before buying to understand the relevant policies before making a purchase. Because banks mainly look at the value of the house and the lender’s repayment ability when handling loan business, as a full-time student in Australia, it is difficult to meet the income requirements of bank loans. In particular, international students only have 20 hours of legal working time per week in Australia.
The important point is that no matter what identity you borrow from, proof of income is required. Although the international students have no income or have a small income, they can use their parents as guarantors and use the guarantor’s income to guarantee your loan. For overseas people with stable income ability, you can apply for a loan of 80% of the property price when buying a house in Australia; however, for international students who have no income ability, under the circumstances of tightening bank credit, at most, they can only apply for properties 60% price loan.
For collateral, you buy a house in Australia, the house itself is your collateral, no additional collateral is required. At the same time, if you have assets in the country, it will help you to apply for a loan more convincingly, the possibility of applying for a loan is greater, and your assets in the country are “sufficient non-essential conditions.” In addition, if the home buyer can With an initial payment of more than 20% of the property’s selling price, the bank will have confidence in your financial ability. Normally, the full payment is due on the 42nd day after the contract is exchanged.