...a flexible loan with advantages
Product Overview
A Foreign Currency Home Loan offers customers who may be residing either within Australia or those buying property in Australia from overseas the ability to borrow funds in a foreign currency, provided their main source of income is either denominated in or pegged to the same foreign currency, creating a natural hedge for loan repayments.
MAP has access to lenders that dominate the Australian residential foreign currency home loan market. Our expertise is matching your requirements to the lender's policies. There are non standard policies and requirements that you need to understand before jumping into a foreign currency mortgage. The following provides a brief overview of our foreign currency home loan options when buying property in Australia from overseas.
Current Interest Rates
The following is an example of the interest rates currently available for a Foreign Currency Home Loan. These rates vary between lenders and change frequently (last updated 04/12/2010):-
| |
Loan to value ratio (LTV) |
| Currency |
|
50% |
60% |
70% |
|
| GBP |
 |
1.5900% |
1.6900% |
1.8900% |
| EURO |
|
3.2600% |
3.3600% |
3.5600% |
| USD |
|
2.5000% |
2.6000% |
2.8000% |
| CAD |
|
3.4200% |
3.5200% |
3.7200% |
| AUD |
|
6.8900% |
6.9900% |
7.1900% |
| NZD |
|
5.4900% |
5.5900% |
5.7900% |
| CHF |
|
2.3600% |
2.4600% |
2.6600% |
| YEN |
|
2.3800% |
2.4800% |
2.6800% |
| HKD |
|
2.4600% |
2.5600% |
2.7600% |
| SGD |
|
2.7200% |
2.8200% |
3.0200% |
|
Foreign Currency Mortgage Product Eligibility
Foreign Currency Home Loans are restricted to investment / business purposes.
The main applicant must be in their current position for at least 12 months.
Foreign Currency Loan Amounts
Minumum - $200,000
Maximum - Dependant upon affordability but generally no more than five times your individual or joint gross basic income.
Term
Principle and interest - 1 to 30yrs
Interest only - 1 to 15yrs
Maximum Loan to Value Ratio for Foreign Currency Mortgage
70% of total security valuation/s. Note that only properties in New South Wales, Queensland, Victoria, Western Australian and South Australia are acceptable security.
Repayments
Repayments are required quarterly in arrears.
Principle Reductions
Extra repayments are allowable, but at least 10 days prior warning is required. A break fee may be charged if the extra repayment is made outside the scheduled installment date.
Loan Splits
Yes - for example 50% SGD and 50% AUD. An interest rate margin of 0.2% is charged if loan is split between currency.
Switching Fees
Two free currency switches available per calendar year after which a fee of US$300 applies per switch thereafter.
Fees
Depending on the lender.
The above is a simple overview of a foreign currency home loan. For more information
- Complete the Quick Enquiry form at the top right of the page
- Email [email protected]
- Call 1300 397 287 or Skype
- Get pre-approved