Home Loans for Nurses in Melbourne, The Simple Guide!

At Jacob Decru Mortgage Brokers, we help locals with their home loans. Today we're looking at Home Loans for nurses in Melbourne.

Are you a nurse in Melbourne searching for nurse home loans to purchase your next home or investment property? 

If so, there are special home loan solutions for nurses in Melbourne like you, which can include waived Lenders Mortgage Insurance (LMI), lower interest rates, and flexible lending conditions.

Here at Jacob Decru, we're a go-to specialist nurse mortgage broker team in Melbourne. Our brokers understand the Melbourne property market and have over 60 lenders that offer personalised lending solutions to nurses across a lot of fields.

If you are a nurse in Melbourne looking to buy a home or investment property, reach out to our dedicated team at Jacob Decru today. 

What Are The Home Loan Benefits Available To Nurses in Melbourne?

The home loan benefits for nurses in Melbourne are rather good, providing hard-working nursing professionals with the loans they need. Here are some of the benefits:

1) First Home Owner Grant

A First Home Owner Grant may be available to nurses purchasing their first residence. This grant offers financial assistance for buying or building a new home.

2) Low Deposit Home Loans

A lot of lenders give nurses choices for low-deposit home loans. With the help of these loans, nurses can more easily buy a home or investment property with smaller deposits — as low as 5% in some instances.

3) Government-Backed Home Loans

Nurses may also qualify for government-backed house loan programmes like the First Home Loan Deposit Scheme or the Family Home Guarantee. These programmes help with deposits so nurses can obtain a home loan even with a tiny deposit.

4) Discounted Interest Rates

As a nurse, you may also qualify for special competitive interest rates from specific lenders. These special rates can lower interest costs and increase the affordability of home loans for nurses.

How Do You Qualify For A Nurse Home Loan?

In Melbourne, nurses, like other medical practitioners, must meet specific eligibility criteria to accommodate their financial circumstances and qualify for nurse home loans.

Here are some of the requirements:

• Australian citizenship or permanent residency
• You must be a registered nurse with the Australian Health Practitioner Regulation Agency (AHPRA)
• You must be a minimum age of 18 years.
• Most lenders require bank accounts or bank statements showing a reliable source of income and an annual income of at least $50,000 from nursing or other employment. Note that this varies in states and areas, so please call 0423 713 362 to check your location.
• You must have a track record of steady employment. Most lenders require that you have worked as a nurse for at least six months.
• Most lenders require the property to be in an essential place in the area or city. 
• The house must also be owner-occupied, meaning you have to live there.
• Most lenders want you to have a credit score of at least 620 to be eligible. But, if you're a first-time house buyer, some lenders can want a better credit rating or credit history.

It is advisable to be prepared with these requirements for a streamlined loan application process. 

What Factors Affect The Borrowing Capacity of Nurses for Home Loans?

Nurses in Melbourne typically enjoy a stable and secure income, which positively affects their borrowing capacity for a home loan. Lenders recognise nursing as a low-risk profession, attributing to the reliability of salary and job security that comes with it.

Various factors, including stable income, employment longevity, and other financial circumstances, determine your borrowing capacity.

Additionally, Melbourne nurses have several home loan options according to the property's Loan-to-Value Ratio (LVR). The LVR determines what loans they qualify for and how much deposit they require.

• 80% LVR Loans: Generally, nurses are exempt from paying Lender Mortgage Insurance (LMI) with an 80% LVR. Lenders may want a 20% deposit, though. Thus, nurses must accumulate a sizable sum of money before purchasing a home.
• 90% LVR Loans: A nurse may forego the LMI and borrow up to 90% of the value of a property. Lenders may look for proof of income, stable employment, decent credit, minimal debt, and ideal real estate. This lowers insurance premiums, which reduces the cost of the loan.
• 95% LVR Loans: A loan with a 95% LVR has more strict requirements. Lenders may require higher income, stable employment, excellent credit, and little nurse debt.

What Income Is Considered For Your Nurse Home Loan?

Lenders may be able to utilise the following other types of income in addition to your regular base wage to determine your income qualification:

• Overtime: Overtime income is accepted as long as it is continuous and verified by your last two current pay slips. However, as most lenders will only use 80% of this money, this could affect loan servicing. Since nurses are vital community members, several lenders will take 100% of the overtime pay.
• Second or other part-time jobs aside from being a nurse: If it comes from the same industry, some lenders can also consider other sources of additional income. But it's possible that they won't take the entire payment, so consider how this can impact overall serviceability.
• Fringe benefits: Fringe benefits, like bonuses or allowances, are non-taxable income that nurses frequently receive as part of their pay. You use fringe benefits to settle an obligation, like a vehicle loan. Lenders often classify this as taxable income, but others treat it as tax-free if they can show that the money was used for certain expenses.

If you are a nurse in Melbourne looking to buy a home or investment property, reach out to our dedicated team at Jacob Decru today. You can call us at 0423 713 362 or click here to schedule a consultation. 

How To Choose the Right Lender for a Nurse Home Loan?

A nurse home loan from the right lender in Melbourne is essential to getting a home. Since there are many lenders and loan choices, it's necessary to think about these things to get the best loan for your needs:

• Specialised Nurse Home Loans: Look for lenders offering home loans for nurses' homeownership needs. Nurses who get these loans might get perks like lower interest rates or no Lenders Mortgage Insurance (LMI).
• Interest Rates: Look at the interest rates that different companies offer to get the best deal. Consider whether the rate is set or variable and how that will change your monthly payments over the loan's life.
• Loan Features: Consider the lender's benefits, like offset accounts, the ability to redraw, and the ability to make extra payments. These parts can help you pay off your loan faster and save thousands of dollars.
• Fees and Charges: Check out all of the loan's fees and charges, such as the application fee, the monthly fees, and the release fees. Consider how much the loan will cost you to ensure it's a good deal.
• Reputation and Reviews: Find out what other customers have said about the lender and look into its image. Look for a loan with a history of keeping customers happy and dependable.
• Pre-Approval: Consider obtaining pre-approval for your home loan from lenders. Getting pre-approved can streamline the home-buying process and give you a clear picture of your borrowing capacity or financial situation. 

Why hire a mortgage broker who specialises in nurse home loans?

For nurses in Melbourne who want to purchase a new home, it is beneficial to work with an experienced mortgage broker specialising in nurse home loans, such as Jacob Decru. 

Here are some reasons to consider engaging a team like Jacob's:

• Specialised Nurse home loan knowledge and expertise
• Access to a wide range of lenders and financial institutions
• It saves you significant time and effort.
• We can provide tailored advice.
• We support and guide you through the entire loan term.
• We can save you significant money.
• We can help ensure all nurse home loan compliance is met, as set by the Australian Securities and Investments Commission (ASIC)

FAQs 

Which banks waive LMI for nurses in Melbourne?

In Melbourne and other Australian cities, nurses receive Lenders Mortgage Insurance (LMI) waivers or discounts from several banks. NAB's nurse home loan offers lower interest rates and waives LMI. Westpac's Premier Advantage Package waives the establishment charge for eligible professionals, including nurses, and lowers house loan interest rates.

ANZ, CBA, and St. George Bank nurses receive discounted interest rates and fee waivers. However, these products' requirements and conditions may change, so check with each lender or mortgage broker for the latest information.

Which nursing specialties qualify for the LMI waiver? 

Most nursing and midwife professions are considered, including:

• Registered Nurse
• Clinical Nurse
• Midwife
• Nurse Practitioner
• Nurse educator
• Critical Care Nurse
• Family Nurse Practitioner
• Cardiac Nurse
• Aged Care Nurse (also known as Geriatrics Nurse)
• Home Health Nurse
• Mental Health Nurse

How much does Lenders Mortgage Insurance Cost?

A deposit of up to 5% of the property's worth is required, and you'll also need to pay an extra 3-5 per cent toward any purchase-related expenses. LMI, the conveyancing fee, the government fee (stamp duty), etc., are among the additional costs.

Get In Touch Today!

If you are a nurse in Melbourne looking to buy a home or investment property, reach out to our dedicated team at Jacob Decru today. You can call us at 0423 713 362 or click here to schedule a consultation. 

Let's start you on your journey towards owning your dream home and building your future lifestyle.