temp sponsor visa 457 and mortgages?

T and family · 07-01-2008, 07:00 PM

help can anyone help us..
we are heading out to melbourne on the 14th march Yippeeeee

and are selling our home in the uk we want to rent for 6 months till we find an area we like and then really want to buy. BUT we are out on a 4 year sponsored visa 457. we have no plans to return and want to apply for permanent after 2 years.

Does anyone know if we can get a mortgage on a 457 ?????
hearing that you have to be permanent to get a mortgage.. but renting for over 2 years seems like dead money..... dont need a huge mortgage only a top up on the english equity we bring over so only around $100,000

does anyone know if we can or how to do this

Thank you
Tracey

cmallon · 07-01-2008, 11:11 PM

Hi Tracey,

We are also hoping to go over in March on a 457. As far as I know you can get a mortgage ok but you do have to apply to the Foreign Investment Review Board before buying property if on a temporary visa. I know of others who have had to do this though and have had no problems.

T and family · 07-01-2008, 11:36 PM

can you tell me more about the foreign investment board please or do you know where i can find out about it

thanks for your help
and good luck with your big adventure too
tracey

T and family · 07-01-2008, 11:41 PM

also hearing that we can only purchase a brand new house do you know if that is true too???

dizzy blonde · 07-01-2008, 11:45 PM

Hi We are in Perth on a 457 (been here 4 months) have looked into mortgages and no problems. When buying a house you do need to apply to the Foreign Investment the website is FIRB: Foreign Investment Review Board - Home. If you put an offer in on a house you need to put down a condition in the contract that the sale is subject to FIRB approval. There are some restrictions I think on the housing ie you have to live in it for at least 12 months.
The real estate people seem quite familiar with the process and I get the impression that it is more of a formality than anything else. The government I think are basically making sure that foreigners aren't coming over, buying property to rent out and pricing ozzies out of the market.
Hope this helps, good luck with the move.

Lynne

T and family · 07-01-2008, 11:53 PM

thanks dizzy blonde ...
wonderful to hear were ok to buy ...
fab! tracey

Bobcat · 08-01-2008, 01:44 AM

Quote:

Originally Posted by dizzy blonde

Hi We are in Perth on a 457 (been here 4 months) have looked into mortgages and no problems. When buying a house you do need to apply to the Foreign Investment the website is FIRB: Foreign Investment Review Board - Home. If you put an offer in on a house you need to put down a condition in the contract that the sale is subject to FIRB approval. There are some restrictions I think on the housing ie you have to live in it for at least 12 months.
The real estate people seem quite familiar with the process and I get the impression that it is more of a formality than anything else. The government I think are basically making sure that foreigners aren't coming over, buying property to rent out and pricing ozzies out of the market.
Hope this helps, good luck with the move.

Lynne

We have to be familiar with the FIRB process! Generally speaking we still allow 30 days on an O & A for FIRB approval in writing............... good news is though........... turn around time has now been drastically reduced and we are getting same in roughly 15 to 18 days.

Gollywobbler · 08-01-2008, 02:27 AM

Hi Bob

I've heard that unless you have PR,you cannot get the 1st tme homebuyers grant and that in some States you can't get the stamp duty rebate either?

Do these considerations have a significant impact on the figures, please?

Many thanks

Gill

BullcreekBob · 08-01-2008, 03:55 AM

G'day (from the other Bob)

For ppl on a 457, as has been said, FIRB approval is required,
there is no eligibility for First Home Owners Grant, ($7K in WA, can be $14K in Vic)
there is no eligibility for lower rates of stamp duty, (saving up to $26K in WA)
mortgage size is limited to 70% (sometimes 80%) of property value,
the property must be your principal place of residence,
when your visa expires you must sell (and leave the country),
you can only sell to a permanent resident.

08-01-2008, 10:29 AM

Hi Gill

In answer to your question Yes & Yes.

In total we wouldnt have got the 1st buyer grant as on 457 visa we knew that. But with regards to stamp duty we would have had to pay approx $40 000 over and above the price of the house hense why we will rent until we get PR. So in effect it would have cost us a extra $47 000 a lot of dosh.

Janette