Why medical, legal and accountancy professionals should use a mortgage broker

Australia’s mortgage market has many lenders competing for your business. And while their lending policies can differ widely, most aren’t great fans of risk. So the less risk you pose as a borrower, the more likely you are to get a better rate on your home loan. 

But that’s not the only perk of being seen as ‘low risk’ – particularly if you work in medicine, law, accountancy or veterinary services.

Some lenders view these professions favourably as, statistically, you’re less likely to default on your mortgage repayments. As a result, they really want your business – so may sweeten the deal by offering you extra benefits not available to other borrowers.

These benefits could save you tens of thousands of dollars off your next home loan.

Yes, really.

What benefits are available?

Lender’s mortgage insurance (LMI) is a one-off insurance premium that typically kicks in when you want to borrow more than 80% of a property’s value. It’s designed to protect the lender should you subsequently default on the loan’s repayments.

LMI is calculated as a percentage of the total amount you’re borrowing, with higher rates charged for larger sums. As a result, it can easily add tens of thousands of dollars to your overall home loan costs.

But, thanks to your occupation, you may qualify for a low-deposit home loan with the LMI premium waived altogether:

• Borrow up to 95% of the value of the property without paying LMI if you’re a doctor, specialist or dentist – saving you $160,000 on a $3 million purchase

• Borrow up to 90% of the value of the property without paying LMI if you’re an optometrist, physiotherapist, chiropractor, accountant or lawyer – saving you approximately $75,000 on a $3 million purchase

Lenders may also offer you discounted rates, depending on your circumstances. Over the life of a loan, this can also save you a significant sum of money.

In most cases, there is no minimum income requirement for these special offers – you just have to be an Australian citizen or permanent resident and be a member of one of the recognised industry associations, such as the Australian Health Practitioner Regulation Agency or hold a current practising certificate as a lawyer.    

Why use a mortgage broker?

Not all lenders offer these special deals to certain professions – and those that do, don’t make a big song and dance about them. So, as the LMI waiver isn’t automatically applied, you might miss out – unless you work with a good mortgage broker who really knows their stuff.

Plus, as a hard-working professional, you’ve got a lot on your plate already. So, do you really want to spend your spare time researching the ins and outs of different lenders’ home loan products, special offers and eligibility requirements – as well as what these all mean for your particular circumstances?

An expert mortgage broker cuts all the hassle and stress out of the process while giving you access to any special offers that apply based on your profession.

Want a great deal on your home loan? Speak to Eventus Financial, an award-winning mortgage broker in Sydney with over 220 five-star Google reviews.