Can your profession save you on your home loan?

The lucky ones

Accountants, Lawyers, Physiotherapists, Optometrists, Veterinarians and Chiropractors are commonly eligible for home loan discounts, or particular loan types without fees, based on their professions. The benefits differ depending on specific professions, as it depends on what industry the lenders decide to target.

It’s a constantly changing and evolving situation, occupational lending policies that are here today may not be around tomorrow. An example of this was a slowing down of the mining industry, which saw mining engineers lose their ‘in demand’ status and their profession-based discounts.

Doctors take the cake

Lenders have their own target lists for professions, but Medical Practitioners and Dental Practitioners are the big winners. Commonly, they'll get waived lenders mortgage insurance, lower interest rates, and in many cases, banks will even go outside of their normal policy to get their loans approved. However, not all medical professionals, such as Psychiatrists, Chiropractors, Veterinarians and Pharmacists, are accepted by all lenders. It’s always advisable to confirm this with your Mortgage Broker.

How the perks work

Simply being in a certain profession won’t automatically save you on your home loan. To qualify you must apply with a lender that offers your profession a special discount and meet that lender’s criteria. You’ll often need to provide evidence of membership of a certain industry body such as the Australian Medical Association. Waived lenders mortgage insurance is usually approved without any problems if you meet the criteria, however your Mortgage Broker may need to negotiate to get a better interest rate as well.

Because lenders don’t publish these better interest rates, to benefit from the discounts it’s best to have your Mortgage Broker by your side. Not only will they know which lenders to apply to, they will also assist you with recommending a rate that suits your needs and future objectives.

Mortgage Brokers are industry leading professionals who have the knowledge and expertise to find the most appropriate loans for even the most complex financial scenarios, including profession-based discounts.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.