18th November 2016
Recent policy shifting by lenders has ‘closed the door’ on some opportunities that Australian overseas expats have previously been able to capitalise on. However there are still options out there - if you know where to look.
Over the past few years, the increased foreign investment from non-resident property investors was gathering substantial momentum, which resulted in intervention by the Australian Prudential Regulation Authority (APRA). APRA’s goal appeared to be a reduction in the number of overseas non-residents who were buying Australian property. Unfortunately for Australian Expats, this has affected their opportunities as well, as many lenders reacted to the APRA requirements by ceasing to lend to all persons with certain types of foreign currency incomes.
A strong focus of our clientele is growing career opportunities for airline pilots. With the global shortage of experienced pilots starting to fuel lucrative employment contracts, it will become more common for Australian airline pilots to look overseas to set themselves up financially. However, when they do this, they will be closing doors on many borrowing opportunities.
It has become very prudent to seek specialised advice on this process before planning an airline career outside of Australia.
Emirates has dropped their employment criteria in an effort to widen the scope of acceptable candidates. A move surely motivated by a shortage of highly experienced and type endorsed pilots. With the other Middle Eastern airlines also competing to attract these pilots, the next move may be increasing incomes.
Hong Kong based airline Dragon Air has also reduced their recruitment requirements – taking on non-type-rated pilots with turbo-prop experience for Airbus jet positions.
The most interesting opportunities lie in the most populated country on the planet – China. Type rated and experienced pilot can earn phenomenal incomes if they are willing to relocate to China.
However, moving to these different countries has varying effects on your ability to obtain finance from Australian lenders. Some well known lenders will not even consider your income - not one dollar - if you earn income in one of these currencies.
Our brokers at Prefix Finance have an intimate knowledge of both your airline career, the options available to you, and the home and investment lending environment. We can’t emphasise enough the importance of seeking credit advice before you plan your career, and even more so before you decide to take on employment outside Australia. Especially in consideration of the recent policy changes by Australian lenders.
If you think you may need specialised advice now or at some point in the future, please don’t hesitate to contact one of our experienced finance professionals. You can contact a Prefix Finance Mortgage Consultant here.