Home loans · Legal
Home Loans for Lawyers
Law is one of the professions that lenders single out for better treatment. If you are an admitted solicitor or a practising barrister, some lenders will waive lenders mortgage insurance for you, which removes a cost that can easily reach five figures on a Sydney purchase.
The waiver typically applies on a loan up to 90 percent of the property's value. Below is how it works, who tends to qualify, and the wrinkle that catches barristers with variable income.
The professional LMI waiver
LMI is the premium you normally pay when borrowing above 80 percent, and it protects the lender rather than you. For eligible legal professionals, select lenders drop it, so a 10 percent deposit can be enough with no insurance cost. Lenders generally want to see membership of a relevant legal body and, unlike medicos, they usually apply a minimum income, often somewhere around $120,000 to $150,000. The threshold and the accepted roles vary, so I confirm current policy for you. For the background on the cost itself, see my guide to lenders mortgage insurance.
90%
LVR some lenders reach with no LMI for eligible lawyers
$0
LMI on an eligible professional loan
10%
deposit that can be enough
Barristers and variable income
If you are at the bar, your income is self-employed and it moves around. That is not a problem for the right lender, but it does change the paperwork. Lenders will usually want a couple of years of tax returns to see a consistent picture, and how they average your income can differ. Employed solicitors on a salary have an easier run, since payslips tell a simple story.
Timing your application
If your income has grown year on year, the lender you choose matters, because some average your last two years while others lean on the most recent. Getting that right can lift what you can borrow. It is the sort of detail I sort before we apply.
Buying your first place, upgrading, or adding an investment, the waiver can apply across all three. If it is your first home, pair this with first home buyer support. If you are investing, see investment property loans.
Check your eligibility
A short call is enough for me to tell you which lenders would waive LMI on your situation. Free and no obligation.
Frequently asked questions
Which lawyers qualify for an LMI waiver?
Lenders generally look for admitted solicitors and practising barristers who are members of a relevant legal body, usually above a minimum income. The exact list and threshold change, so I check current policy for you.
I'm a barrister with variable income. Does that rule me out?
No. Self-employed legal income is fine with the right lender. They will want a couple of years of returns to see consistency. Book a call and we'll look at yours.
How much is the LMI waiver worth?
It depends on your loan size and deposit, but avoiding LMI can save tens of thousands on a larger loan. That is a meaningful head start.
Important information
This information is general in nature and does not take your personal objectives, financial situation, or needs into account. It is not credit assistance or a recommendation to enter into any particular credit contract. Consider whether it is right for you and seek advice before acting. Lending is subject to a lender's eligibility and approval criteria. Terms, conditions, fees, and charges apply.
Greenwood Finance · ABN 23 671 049 693 · Credit Representative No. 551942.
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