If you already have a home loan and want to refinance, your visa status makes a bigger difference than you might think. Here's what actually changes when you're refinancing as a migrant compared to a citizen.
At a Glance: The Key Differences
When Should You Refinance vs Wait?
Refinance NOW if:
✅ You're a permanent resident with a rate 1%+ above current market
✅ You're on a skilled work visa with 2+ years remaining and can save 0.5%+ on your rate
✅ You need to switch from interest-only to principal & interest
WAIT if:
⏸️ You have less than 12 months on your temporary visa
⏸️ You're about to get PR (could save thousands in fees and get better rates)
⏸️ You haven't built any Australian credit history yet
⏸️ You're unsure if you need FIRB approval
The Partner Visa Exception
If you're on a partner visa (subclass 820/801 or 309/100) and refinancing jointly with your Australian citizen or PR partner, you often get treated like a local borrower:
- ✅ Up to 95% LVR possible
- ✅ Standard interest rates
- ✅ No FIRB approval needed
- ✅ Access to all major lenders
- ✅ Fast processing (3-7 days)
The key is the property ownership structure and loan application being joint with your citizen/PR partner.
Quick Decision Guide
Start here: What's your current visa status?
→ Citizen or PR: Refinance anytime it makes financial sense. You have full access.
→ PR for less than 12 months: Most lenders will still treat you like a local, but some may cap you at 80% LVR for another few months.
→ Temporary visa with 12+ months remaining: Possible through specialist lenders. Expect 80% LVR cap and slightly higher rates. Use a broker.
→ Temporary visa with less than 12 months remaining: Wait until you get PR or your visa is renewed. Most lenders will automatically decline.
→ Partner visa (820/801, 309/100) with citizen/PR partner: Apply jointly and you'll likely be treated like a local borrower.
→ Living overseas: You need a specialist broker. This is complex and expensive.
The Bottom Line
If you're a permanent resident: Refinancing works almost identically to citizens. Go for it if the numbers make sense.
If you're on a temporary visa: Refinancing is possible but significantly harder. You'll face:
- Limited lender options
- Higher rates (0.25-0.75% premium)
- 80% LVR cap in most cases
- Longer processing times
- Potentially FIRB complications
The key is using a specialist broker who understands visa-specific lending, not going directly to major banks that will likely decline you.
The biggest lever you have: Getting permanent residency. The financial benefits of PR status in refinancing alone can save you tens of thousands over the life of your loan.
Information current as of January 2026. Lender policies and visa requirements change regularly. Always verify with a qualified mortgage broker before making decisions.
