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Can you get a home loan while studying?

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Australians enjoy their higher education, whether it’s attending university or taking vocational classes. As per the 2015 Census 56 percent of Australians over the age of 15 (roughly 9.6 million – hold post-school certificates as compared to 46% a decade earlier.

With so many Australians who are being forced to quit their jobs because of the COVID-19 epidemic as high as 1.6 million in the peak period as per the Australian Bureau of Statistics – it’s likely that the increasing tertiary education market will continue to grow, since a lot of Australians may decide to return to universities or TAFEs to gain new skills in a post-pandemic society.

Although we are passionate about learning and property, we also enjoy learning however, during the course of study, it can be difficult to earn the money needed to pay mortgage payments. But it’s possible, and in this post we’ll look at how students in Australia is able to get an home loan and if they should.

Can students obtain a mortgage on their homes?

Based on Laura Osti, Head Of Marketing And Communications at online lender Tic:Toc, it’s completely possible for students to secure a 留学生贷款 within Australia.

“Being student does not affect your possibility of getting a home loan However, you’ll need to meet the standard requirements which include savings for a deposit as well as an income-to-debt ratio that will allow you to pay for the loan. This could be difficult when taking classes,” Ms Osti said.

“Any students’ loans and HELP debts will be considered that could affect the amount of loan a person can take out.”

So , in the end it is true that a university or TAFE student in Australia is able to purchase a home and also get a mortgage. It is possible that they will be more difficult to get accepted, but there is no rule of thumb for lenders or banks that say they can’t refuse to lend money to students.

What are the best the possibility of home loans for students from abroad?

It is possible for international students to purchase a house in Australia and receive an home loan. It is generally possible for students with the following kinds of Visas to get the loan:

Student Visa (Subclass 500)

Skilled Accredited graduate visa (Subclass 476)

Visa for Skilled Graduates (Subclass 485)

Skills-based Regional (Provisional) Visa (Subclass 489

However, it is difficult to get approved for a loan when you are an international student with a visa since lenders might view international students as more risky clients because, they are not only relocating their lives to relocate to a new location and adjusting to in a typical student lifestyle and are not likely to work over 20 hours a week. One of the best methods to increase their chances of being approved however they should have parents in the United States who will act as a guarantor for the loan for them or let their parents take care of the loan in part.

Other ways that international students can increase their chances of getting being approved for a home loan are:

With a larger deposit (at at least 20 percent plus 5 percent to cover additional costs such as stamp duty)

Are you married to someone who is working full-time?

A good credit score in Australia

Show good savings habits when studying

International students may also require approval by the Foreign Investment Review Board (FIRB) to purchase a residence and investment house in Australia.

Students can find ways to get an home loan

While it’s more difficult for students to get an home loan than those who have stable, full-time job, it’sn’t difficult. There are plenty of ways you can be involved as a student to aid you in entering the housing market. Some of these are also suitable for those with low incomes.

“The best way to boost your chances of getting into a solid savings routine and cut back on debt and spending. The majority of lenders want to consider three months’ of expenses for living in the application. Therefore, it’s recommended to cut down on your expenses prior to of your application and also closing (or decreasing the limit on) those credit cards.” Ms. Osti explained.

“We are aware that the most difficult thing for those who are new to the market is saving enough to pay for the deposit, and so using a budgeting tool that is effective is a good idea and also seeking out home loans which accept lower than typical 20% deposit.”

Get a scholarship payment

Although many lenders don’t be able to consider it an income source, lenders who will consider the income that you get through scholarships. Based on the type of award, they could offer you the equivalent of thousands of dollars of income each semester and increase the chances of getting approval from the lender.

The kinds of scholarship that are most likely to be accepted are:


Scholarships at universities; and

Commonwealth scholarships

Some types of scholarships are not likely to be granted, including HECS exemptions and fee exemptions, as well as additional allowances, direct payment of tuition. If you want to successfully get a home loan as an award, you’ll have to keep these points in your head:

You’ll need a confirmation letter from your institution that confirms your scholarship to your lender.

It is important to indicate the length of time left on your scholarship. Having minimum 12 months left is advantageous.

As the majority of lenders don’t accept direct applications from applicants for scholarships, you could be better off going to an agent for mortgages who will assist you in finding a suitable one via their network. You can increase the chances of getting approved by having an additional source of income for the application…
You and your partner are both working full-time (or earn a steady income your own)

The lender will assess the income of the household before granting loans this is the reason it’s usually more straightforward for two applicants to be accepted than one. If you’re still in the university or TAFE and you’re a joint applicant who earns an ongoing full-time income, the lender is typically more likely to grant you the green light. This is also true when you earn a steady income of your own, whether it’s an extra-curricular job, a part-time gig or a business that you have your own.

“Another suggestion is to stay with the same company prior to applying, as most lenders require that you be with an employer who has been with you for a minimum of six months and possibly longer if working in a casual capacity,” Ms Osti said.

The more money your family earns the more likely you are of being admired.