Specialist Legal Industry Home Loans
Legal Professionals May Be Able to Borrow up to 90% of a Purchase Price with No LMI.
Selected legal professionals are considered low risk by lenders, and they’re anxious to support your needs into the future. As such, they provide significnat industry discounts (without LMI) at very competitive rates.
Home Loans for Legal Professionals
If you want to buy a house and are looking for a home loan, you might want to consider Legal Professional home loans. A Legal Professional home loan is a special type of home loan that was designed specifically for lawyers and barristers.
Legal professionals are in high demand, and they earn a good income. Therefore, they make a good candidate for a home loan, and banks trust that they will repay the loan fully and on time. Because of this, some banks offer special interest rates and discounts on legal professionals home loans.
What are the benefits of Legal Professionals home loan?
Home loans for Lawyers have two important benefits:
- Lenders Mortgage Insurance (LMI) waiver: since lawyers are typically low-risk borrowers, they can get an LMI waiver which can save them as much as $24,000 on a Lawyer home loan of $1 million.
- Special benefits: Lawyers & Barristers get special rates of interest and other discounts that other borrowers don’t get.
Why is the LMI waiver important?
LMI is a one-time fee that you have to pay upfront while buying a house if you cannot pay a 20% deposit. This can easily cost tens of thousands of dollars, depending on the price of the property you’re purchasing.
Some banks offer a 100% LMI waiver for lawyers and barristers and several lawyers make use of this feature to invest in multiple properties. They can build a large portfolio of investment properties by doing this since the deposit you have to pay for each property is reduced drastically.
This corresponds to a savings of $10,000 to $40,000, according to the price of the house you’re buying. Fetch Loans is among a small group of mortgage brokers authorized to provide this sort of loan to accounting professionals and other financial industry professionals.
Eligibility criteria for LMI waiver
The following are the key qualifying criteria for LMI waiver:
- Both buying and mortgage refinancing are permitted.
- You must make between $120,000 and $150,000 per year, including taxable and rental income.
- The maximum loan amount per collateral is $2.7 million (that is, the property price cannot exceed $3 million). This is usually restricted to $2 million for each asset.
- When acquiring several investment properties, the exposure limit is increased.
- Applicants must be lawyers, barristers or judges to qualify.
- It’s possible that proof of your qualification or industry affiliation will be requested
- You must fulfil all of the usual loan requirements.
Professional eligibility criteria
As an Auditor, Finance Manager, or Actuary, you must be a member of one of these institutions to qualify for a 10% (only) deposit loan with no LMI fees:
- Law Council of Australia
- Law Society of NSW
- Law Society of South Australia
- Queensland Law Society
- The Australian Bar Association
- Law Institute of Victoria
- Australian Labour Law Association
- Australian Corporate Lawyers Association
- The Commercial Law Association of Australia
- Australian Insurance Law Association
Membership in one of these institutions shows lenders that you are a well-known professional in your industry.
What is the minimum income required for an LMI waiver?
To be eligible for an LMI waiver, you must earn a minimum income of $120,000 in WA, SA, NT, and TAS, and a minimum income of $150,000 in NSW, ACT, VIC, and QLD. This includes your rental income, but not your spouse’s income unless they are also a qualifying legal professional.
If you don’t satisfy this income criterion, your total income must be at least $150,000 (including you, your spouse, and any rental income). This places you in the category of a high-income earner.
LMI waiver without minimum income requirement
Because of the minimum income limit for a waived LMI mortgage for professionals, a large number of competent lawyers were unable to apply because their income fell below this level.
One of our main lenders has removed the need for legal processionals to earn a certain amount of money to be eligible for an LMI waiver.
As a legal professional, you must meet the following criteria to be eligible for no income-based LMI:
- No set amount of money must be earned to qualify.
- A single security can only be used to secure a loan of $2.7 million. You can buy or refinance a home worth up to $3 million.
- You should own at least 50% of the house; for example, if there are two applicants, one of them is a legal professional and the other works in a different profession, the legal professional must own 50% of the mortgaged property.
Which professionals are eligible for an LMI waiver?
You must show proof of your degree or membership/fellowship in relevant institutions (e.g. Law Council of Australia).
Is your field of work not listed? To find out if you qualify, speak with one of our specialists today.
What is accepted as proof of membership of qualifying institutions?
Any of the following types of proof are acceptable:
- Receipt for yearly membership payment
- A valid membership card
- The specified organization’s written confirmation
- Certificate of Practicing
An invoice and confirmation of payment from the appropriate governing organization, an online printout verifying current membership, or a current year’s certificate certifying current membership are all acceptable too.
You may not require an LMI waiver if you’re borrowing less than 80% of the total price of the property, or you may not qualify for an LMI waiver for another reason. In any case, we can offer you special benefits such as a reduced rate of interest on your loan amount.
The discount will be determined by the following factors:
- The total amount of your loan.
- The amount you’re borrowing in proportion to the property’s value.
- Your membership in the profession, as well as your educational background.
All these discounts on a mortgage for professionals are evaluated on a case-to-case basis, and the exact nature of the discount or the rate of interest will vary.
How to apply for a professional home loan?
Wondering what home loans are available for legal professionals? Fill out an inquiry form or contact us at [insert number or email] to understand all the options available.
Our process is fairly simple and has only three steps!
All you have to do is get in touch with us and help us understand your situation and what you’re looking for. We will ask you for more details if needed. Then, you can relax while we find the most suitable loan options for you and work out all the details!
Keep in mind that very few companies are authorized to offer LMI waivers. To ensure you get the best possible offer, including an LMI waiver and special benefits, get in touch with us now!
A Risk Fee is a once-off charge payable by you when the amount of money you borrow for the purchase of a home or asset if higher than that lender's acceptable LVR . For a home loan, this is usually 80% of the value of the home (80% LVR). The fee is charged to reduce… [ Learn More ]
When you apply for a home loan, a lender will take a large number of factors into consideration when deciding whether or not to approve your application. The Serviceability assessment determines if you can comfortably "service" the loan repayments after considering all of your income, expenses and liabilities. Each lender has its own risk assessment… [ Learn More ]
Conveyancing is the legal process of preparing and organising the required documents involved in the transfer of property from one person to another. The conveyance of a property is undertaken by both those who are selling and those who are buying property, and is conducted by a conveyancer, solicitor, or the individual buying or selling… [ Learn More ]
Low doc (low documentation) home loans can benefit people who don’t have access to the level of information banks and lenders often require for your standard home loans. If you are a business owner, contractor, seasonal worker or freelancer, you may not have all the documentation usually required or the employment history often requested. Your… [ Learn More ]
A 'Split Home loan', 'Split Facility’, or 'Split Mortgage', is a home loan that combines a Fixed Home Loan and a Variable Home Loan . In essence, a Split Loan allows you to split a home loan into two accounts, both of which attract interest rates and features that are specific to that loan.… [ Learn More ]
Construction home loans, also known as a building loan, is a lending option that provides you funds to pay your Licenced Builder (or fund your Owner-Builder project) throughout each stage of your build or renovation process. [ Learn More ]
Fixed Home Loans opposed to the Variable Rate Home Loans, are where you have a set period where the rate and repayments do not change. [ Learn More ]
The Variable Home Loan rate is the most popular home loan type in Australia. An interest (and comparison) rate is set for a particular product and will vary depending upon cash rate changes as dictated by the Reserve Bank of Australia . The variable rate set by a bank doesn't necessarily move proportionally to official… [ Learn More ]
Most home loans are based on principal and interest. That is, you pay off the principal amount (the amount you have borrowed) in addition to the accumulated interest. However, when servicing an interest only loan you will only pay off the interest component for a period of time, thus greatly reducing your monthly obligations. While… [ Learn More ]
A Home Loan Package is a home loan bundled with other financial or banking services and products with the main attractive feature usually being an included discount on the home loan interest rate. At the time of this writing, the interest rate reduction was around 0.8% to 1.4% for a variable rate home loan. Examples… [ Learn More ]
With a Basic Variable Rate Home Loan It's easier to repay your home loan sooner by making additional repayments without penalties. [ Learn More ]
Home Loans for Police and Law Enforcement qualify for a low deposit no mortgage insurance home loan today and police home loans [ Learn More ]
Extra perks are available to some qualifying professions within the mining industry like Mining Engineers, Surveyors and Geophysicists, whose salary meets the minimum income test ($150,000 at time of writing) and you are a member of the appropriate industry association (e.g. Engineers Australia). The primary benefit being, you are able to borrow up to 85%… [ Learn More ]
Home Loans for Legal Professionals, Accountants, Barristers, and Lawyers can qualify for a home loan with no lenders mortgage insurance. [ Learn More ]
Home Loans for Doctors and Medical Professionals qualify for a home loan without lenders mortgage insurance. [ Learn More ]
The Loan to Value Ratio (LVR) is the amount you're borrowing represented as a percentage of the property’s value. The loan amount is divided by the purchase price of the valuation amount, then multiplied by 100 to make a percentage. For example, if you're purchasing a home worth $500,000 and you wish to borrow $400,000… [ Learn More ]
A comparison is the true cost of a loan every year, including fees and charges, and taking the product attributes into account. While an interest rate may be low to lure you into that product, the comparison rate provides a more realistic understanding of the cost of a loan, and allows you to more easily… [ Learn More ]
Pre-approval simply means that the lender has evaluated your property purchase, your basic details, and has obtained other early details, in order for you to start looking for property. It provides you with an informed and reliable estimate of your true borrowing capacity, but it doesn't necessarily fully consider your serviceability or credit history (the… [ Learn More ]
Equity is the value of an asset (e.g house, car) minus any debts attached to that asset. For a property, the equity would be the current market value of the property minus the balance of any loans attached to that property. As an example, say we have a property as follows: The current value of… [ Learn More ]
Lenders assess mortgage applications differently based on the location of the property being offered as security. A lender, or the Lenders Mortgage Insurance provider, will apply more rigid lending policies in high-risk locations to limit their risk. This risk assessment often means that your maximum permissible LVR (and your borrowing amount) to be lower.… [ Learn More ]
If you’re a first home buyer, you may be eligible to withdraw voluntary super contributions you’ve made to put toward a home deposit. Through the First Home Super Saver Scheme (FHSSS), first-home buyers may be able to use Australia’s superannuation system as a tax-effective way to save for part of their home deposit. The FHSSS… [ Learn More ]
Can Rent Be Used as Genuine Savings? Of course! [ Learn More ]
Self-Managed Super Funds are often used by investors as a means to take control over their superannuation for the purpose of investing in property of their own choosing. However, Self-Managed Super Funds - particularly when used for investing - is a complex subject that requires the guidance of a suitably qualified professional. A Self-Managed Super… [ Learn More ]
The term Genuine Savings refers to the funds that you have saved genuinely and gradually over time, usually between three to six months. It excludes gifts, tax refunds, one-off payments from the sale of assets, such as you car, Home Owner Grants , and work bonuses. The term 'Genuine Savings' is one that is quite… [ Learn More ]
We believe that former adversity shouldn't impact upon your ability to get a home loan, and we specialise in sourcing suitable products for those that have experienced adversity via a less-than-stellar credit history, bankruptcies, defaults, Part IX debt agreement, or judgments. Sometimes life gets in the way of your wealth creation or home-ownership goals, so… [ Learn More ]
A Guarantor Loan, Family Pledge Loan, Limited Guarantee, or "Equity Guarantor" loan is one where the guarantor enables entry to the property market to a buyer by offering your own fully or partially-owned property as security. You are essentially co-borrowing without the financial commitment; should the borrower fail to meet their obligations you inherit the… [ Learn More ]
When you apply for a home loan your lender will get an independent valuer to assess the bank valuation of the property you wish to buy. For the bank, property valuation risks are their main priority, so the bank valuation is a conservative estimate of the property's value and is different to a market valuation.… [ Learn More ]
Selling your existing home and buying a new home simultaneously can be a little difficult in that the sale of your property, and finding a new property, rarely occur simultaneously. With a bridging loan, you can avoid the stress of matching up settlement dates, move quickly to buy your new home and give yourself more… [ Learn More ]
Credit Defaults can have an affect on which lender you can approach but it's not always a clear no. [ Learn More ]
Your credit score is your credit history converted to a number between 0 and 1000 or 0 and 1200, depending on which credit score provider produced the credit score. The higher the score, the better your credit rating. It is one of the factors used by lenders to determine how likely you are to repay… [ Learn More ]