Purchasing a home or securing accommodation is one of the biggest challenges for international students in Australia.
While many students opt to rent, the idea of buying a home may seem appealing as an investment in the future.
However, navigating the home loan market can be challenging, especially as an international student.
Fortunately, there are a number of banks and financial institutions that offer home loans to international students.
In this article, we will explore the 7 best home loans for international students in Australia, detailing loan amounts, co-signer requirements, interest rates, loan terms, and eligibility criteria.
Best Home Loan for International Students in Australia
| Loan Provider | Loan Amount | Co-signer Requirement | Interest Rates | Loan Terms | Eligibility Requirements |
|---|---|---|---|---|---|
| Commonwealth Bank | Up to AUD 1,000,000 | Yes | 4.99% – 7.25% | 10 – 30 years | Full-time student with proof of income and a valid student visa |
| ANZ Bank | Up to AUD 750,000 | Yes | 5% – 7.5% | 10 – 30 years | Full-time international students with a valid student visa |
| Westpac | Up to AUD 1,500,000 | Yes | 5.1% – 7.8% | 10 – 30 years | International students with a job in Australia and proof of income |
| NAB Bank | Up to AUD 1,000,000 | Yes | 4.75% – 7.1% | 10 – 30 years | Full-time students at accredited universities with proof of income |
| Bank of Melbourne | Up to AUD 850,000 | Yes | 5.25% – 7.5% | 10 – 30 years | Full-time students with proof of enrollment and income |
| College Ave Student Loans | Up to $500,000 | No | 5.5% – 9% | 10 – 15 years | International students enrolled in eligible institutions (U.S.-based option) |
| Bendigo Bank | Up to AUD 800,000 | Yes | 5.5% – 7.5% | 10 – 30 years | International students with proof of income and a valid visa |
1. Commonwealth Bank
- Loan Amount: Up to AUD 1,000,000
- Interest Rates: 4.99% – 7.25%
- Loan Terms: 10 – 30 years
Commonwealth Bank offers home loans of up to AUD 1,000,000, with competitive interest rates ranging from 4.99% to 7.25%.
The loan term can be as long as 30 years, giving international students more flexibility in repayment.
However, a co-signer is required, and applicants must provide proof of income in addition to meeting other eligibility requirements.
2. ANZ Bank
Loan Amount: Up to AUD 750,000
- Interest Rates: 5% – 7.5%
- Loan Terms: 10 – 30 years
ANZ offers home loans of up to AUD 750,000, with interest rates ranging from 5% to 7.5%. The loan term can extend to 30 years.
To qualify, international students must be enrolled as full-time students and provide proof of income. A co-signer is also required.
3. Westpac
- Loan Amount: Up to AUD 1,500,000
- Interest Rates: 5.1% – 7.8%
- Loan Terms: 10 – 30 years
Westpac offers one of the largest loan amounts of up to AUD 1,500,000, with interest rates ranging from 5.1% to 7.8%.
The loan term can range from 10 to 30 years.
International students will need to provide proof of income and a job in Australia. A co-signer is required for this loan as well.
4. NAB Bank
- Loan Amount: Up to AUD 1,000,000
- Interest Rates: 4.75% – 7.1%
- Loan Terms: 10 – 30 years
NAB Bank provides home loans of up to AUD 1,000,000, with interest rates starting at 4.75% and going up to 7.1%.
Loan terms are available from 10 to 30 years.
This loan is available to full-time students enrolled at accredited universities who have proof of income and meet other eligibility criteria. A co-signer is required.
5. Bank of Melbourne
- Loan Amount: Up to AUD 850,000
- Interest Rates: 5.25% – 7.5%
- Loan Terms: 10 – 30 years
Bank of Melbourne offers home loans of up to AUD 850,000. Interest rates range from 5.25% to 7.5%, and loan terms can extend up to 30 years.
Full-time students must have proof of enrollment and a stable income to qualify. A co-signer is also required for this loan.
6. College Ave Student Loans
- Loan Amount: Up to $500,000
- Interest Rates: 5.5% – 9%
- Loan Terms: 10 – 15 years
College Ave Student Loans offers a unique option for international students, especially those attending U.S.-based institutions.
This loan offers up to $500,000 with interest rates ranging from 5.5% to 9%. Loan terms are between 10 and 15 years, and a co-signer is not required.
This option is suitable for international students enrolled in eligible institutions, but the loan is U.S.-based.
7. Bendigo Bank
- Loan Amount: Up to AUD 800,000
- Interest Rates: 5.5% – 7.5%
- Loan Terms: 10 – 30 years
Bendigo Bank offers home loans of up to AUD 800,000, with interest rates ranging from 5.5% to 7.5%.
The loan term can be as long as 30 years. International students are eligible to apply, provided they have proof of income and a valid student visa. A co-signer is required to apply.
Quick One: We have other useful loan articles here.
Frequently Asked Questions
Can international students in Australia apply for a home loan?
Yes, international students in Australia can apply for home loans. However, most lenders require a co-signer and proof of income. Students must also meet other eligibility criteria such as being enrolled full-time at an accredited institution and holding a valid student visa.
What are the interest rates for home loans for international students in Australia?
Interest rates for home loans for international students in Australia generally range between 4.75% and 7.8%, depending on the lender and the loan amount. For example, Commonwealth Bank offers rates from 4.99% to 7.25%, while Westpac offers rates between 5.1% and 7.8%.
Do I need a co-signer to apply for a home loan in Australia as an international student?
Yes, most banks and financial institutions require international students to have a co-signer when applying for home loans in Australia. This co-signer typically must be an Australian citizen or permanent resident.
Conclusion
Securing a home loan as an international student in Australia can be challenging, but with the right knowledge, it is certainly possible.
The 7 lenders featured in this article offer competitive interest rates, flexible loan terms, and varying eligibility requirements to suit a range of financial needs.
Whether you are looking to purchase a home or an investment property, make sure to consider all factors, such as interest rates, loan amounts, and the required co-signer, before making your decision.
With the right financial plan, owning a home in Australia could be within your reach.
