Pharmacists can receive several benefits when it comes to taking out a home loan.
They can qualify for waived LMI.
(Saving you literally thousands)
And a few other things, including:
- ✅ Higher loan limit if they maintain a healthy property portfolio
- ✅ Discounted interest rates
- ✅ Waived Lenders Mortgage Insurance (LMI)
This guide will teach you everything you need to know about Home Loans for Pharmacists.
Why do pharmacists get better home loan deals?
Pharmacists and other medical professionals are viewed by banks as low-risk borrowers.
This means they get better offers not available to other professions.
Some of the special offers pharmacists get include:
- Interest rate discounts
- Waived LMI with a 15% deposit
- Waived fees
- Higher loan to value ratio with up to 105% of the property value borrowed (this is only if you are doing a guarantor home loan)
Yet one thing to note is that the offers vary between lenders.
So it is worth getting a mortgage broker (like us) involved to research for you.
What about medical professionals that aren’t eligible?
There are certain types of medical professionals that unfortunately, don’t qualify for these deals (like Nurses for example).
Yet luckily pharmacists, like Doctors are eligible.
Psychologists, medical research scientists and naturopaths are not eligible.
Yet may still have access to better interest rates for those who have heavy savings and solid employment history.
If I’m a pharmacist, how do I know if I qualify for discounted interest rates and waived LMI?
If you can demonstrate the following, you will be eligible:
- ✅ You are an Australian citizen or permanent resident
- ✅ The property you are purchasing will be an investment or owner-occupied
- ✅ The maximum loan is $2 million
And if I can’t meet these criteria?
You may still be eligible to borrow up to 85% of the property value with no LMI.
Yet speak to your mortgage broker about this.
Case Study: Teresa the Pharmacist
Teresa didn’t know about the pharmacist benefits and purchased a home with a 20% deposit.
Now she is wanting to purchase an investment property but doesn’t have enough for a deposit yet, what can she do?
Teresa can use the pharmacist benefit to bring her existing loan to value ratio to 85% of the property value – without having to pay LMI.
This money she takes from her mortgage will be released and used to pay for her new investment property.
Provided that the value sits under $2 million she is eligible to do so.
Which lenders Offer These Benefits?
There are a few lenders who offer loan discounts to pharmacists.
But start by speaking to Hunter Galloway, who can find the right lender for you based on the following:
- Deposit size
- Number of properties to purchase
- How complex the situation is, which includes the company structure, self-managed superannuation fund, trusts, etc.
- If you have a membership of the Australian Pharmacy Council, and
- If you and your spouse are in a unique situation that is not a part of the lender’s policy.
Another alternative is to split your mortgages between different lenders.
This is a strategy to help you to qualify for the different benefits they offer.
But it’s best to arrange this with a mortgage broker before going ahead.
How can I get 85% and no LMI as a Pharmacist?
As a pharmacist, you will be eligible to borrow up to 85% of the property value without paying LMI.
Pharmacists receive these benefits because they are considered low-risk by lenders.
They maintain this list because professionals like Pharmacists can:
- ✅ Make regular repayments without causing any delay
- ✅ Borrow high loan value as compared to other borrowers
- ✅ Rarely default on their loan
How much can I borrow?
Pharmacists are eligible for the same benefits that doctors are.
This is because they are considered low-risk borrowers.
Here’s what pharmacists are eligible to borrow:
- Up to 85% of the property value with no LMI
- Property value up to $2 million
How can I get approved for a pharmacist home loan?
Provided that you are currently working as a pharmacist and are registered with your industry association – you will be approved.
However, each case is individual and requires review.
A few other things will depend on if your application is successful or not:
- ✅ The number of properties you wish to buy along with the size of the deposit
- ✅ If you have an unusual case outside of bank policy
- ✅ Your personal situation – company structures, trusts etc.
However, all of this advice is just general advice and we strongly recommend you speak to our team of Mortgage Brokers who are Lenders Mortgage Insurance experts to understand your situation as a pharmacist and accurately confirm with you if you’re eligible. Speak to Hunter Galloway today for more information.
How much can Pharmacists save with 85% no LMI loans?
As you can see below, having LMI waived could save you up to $9,033 in the costs of purchasing your property!
How much does Lenders Mortgage Insurance Cost?
The cost of Lenders Mortgage Insurance is based on a sliding scale.
The lower your deposit, the more lenders mortgage insurance costs.
The higher your deposit, the less that lenders mortgage insurance costs.
|Loan Amount ($)||LMI cost @ 85% ($)|
As you can see, having no LMI up to 85% avoids costs of up to $9,146.
List of Qualified Pharmacists Who Get These Waivers and Discounts
Every pharmacist qualifies for a loan as long as he or she has a stable job and income.
This includes pharmacists who are registered with:
- Pharmacist Clinical Toxicologist
- Pharmacist Clinical Pathologist
- Veterinary Pharmacist
- Regulatory-Affairs Pharmacist
- Pharmacist Prescriber
- Oncology Pharmacist
- Nuclear Pharmacist
- Military Pharmacist
- Managed Care Pharmacist
- Locum Pharmacist
- Informatics Pharmacist
- Industrial Pharmacist
- Hospital Pharmacist
- Home Health Pharmacist
- Drug Information Pharmacist
- Consultant Pharmacist
- Compounding Pharmacist
- Community Pharmacist
- Clinical Pharmacy Specialist
- Academic Pharmacist
If you are registered with any of the above-mentioned institutions, you can apply for a mortgage and get these deals.
You will also need to be a permanent resident to qualify.
How does Hunter Galloway help Pharmacists?
It’s important to work with a mortgage broker that understands your situation, and occupation. At Hunter Galloway we have access to over 30 lenders, we do all the paperwork for you, negotiate a better deal with your bank and bests of all our services do not cost anything to you as we are paid by the banks.
Help this is all confusing
If you are a Pharmacists wanting to buy a home or refinance speak with one of our experienced mortgage brokers to walk through the next steps with you.
At Hunter Galloway we help Pharmacists get no LMI Home loans in this competitive market, we give you the actual strategies that have helped other home buyers like you secure a property when there have been 5 other offers on the table! Enquire online or give us a call on 1300 088 065.