This is a great opportunity for expatriates to take advantage of their increased income whilst aborad and enter the market or acquire a more valuable property.
"Having to only contribute your purchase costs, not a deposit means that almost every expat can now afford to acquire a property back home." according to Helen Avis, Director of Finance for Specialist Mortgage, the leading Finance Broker for Australian Expatriate investors.
Only some select lenders will allow this and the borrower will be required to take out Mortgage Insurance to protect them and the bank against possible market risks, however the additional lending will be welcomed by many expats.
"It will still be best for most investors to leave their borrowings at 80% and not have to incur the cost of the Mortgage Insurance, however the opportunity to lend more will allow many investors to increase their purchasing budget in a time when many Eastern States markets are offering great opportunity as they come of slow downs and begin the next growth cycle." says Helen.
If you are not willing to wait until your savings are sufficient and risk an upward movement in price, then the 100% loan could see you in a position to acquire far sooner than you expected.
In most cases the ability to lend will also depend on which country you are working in as each bank has an approved list to work with where the Mortgage Insurers have confidence in the stability of the currency and economy of that country.
"We have been aggressively lobbying the banks over many years to allow the higher lending ratios for Expatriates and are pleased to see they are listening to market demands and allowing expats the same benefits afforded to their peers that remained in Australia" Helen adds.
To find out if you could qualify for a 100% loan email Helen Avis at Specialist Mortgage at helen@smats.net
