The first challenge many expats face is simply finding a lender who will consider their application. Some banks don’t lend to borrowers living overseas, while others may only accept applications from expats in certain countries or working in particular industries. Working with a mortgage broker who understands expat lending criteria is critical as they’ll know which lenders are expat-friendly.

If you’re earning an income in a foreign currency, expect lenders to be extra conservative. Even if you're on a high income, most lenders will only consider 70-80% of your foreign income in their borrowing capacity calculations. On top of that, not all currencies are accepted. If you’re paid in a less commonly used currency, your borrowing power may be significantly limited.

Some lenders will assess your income using Australian tax rates, even if you're living in a country with lower tax obligations. This can reduce your assessed net income and therefore reduce how much you can borrow. However, certain lenders may assess your application based on your actual net income, which can make a big difference if you're in a low-tax environment.

Getting all the paperwork sorted from overseas can be one of the biggest problems for expats. Lenders may require original signed documents, certified copies, or even that some forms be witnessed. Depending on where you live, this can involve booking time with a notary, solicitor, or a visit to your nearest Australian embassy. The good news is that digital documentation is becoming more widely accepted, and some lenders now allow electronic witnessing under specific conditions.

A broker who understands the expat market will know which lenders to approach, how to present your income, and what documents are needed from day one. They’ll guide you through the witnessing process, help you avoid unnecessary delays, and make sure your loan is structured in a way that supports both your short-term investment goals and long-term plans to return to Australia.