Getting permanent residency is a major milestone. For many migrants, buying a home is the next one, and it often feels more complicated than it needs to be.

Between unfamiliar paperwork, lending terms that do not translate well, and conflicting advice from family and online forums, it is easy to delay a decision you are actually ready to make. This checklist walks you through the Australian home buying journey step by step, from your first lending check to settlement day. For a broader introduction to the process, see our full beginner’s guide to buying a house in Australia.

Step 1: Confirm your PR status and how lenders see it

Most Australian lenders treat permanent residents the same as citizens for everyday home loans. Your visa status still matters, so it pays to confirm exactly how your lender classifies it before you apply.

If you are ordinarily resident in Australia, you generally do not need approval from the Foreign Investment Review Board (FIRB) to buy a home. This rule mainly affects temporary visa holders and non-residents, not permanent residents who are settled here.

You may also be eligible for the First Home Guarantee, a federal scheme that allows eligible first home buyers to purchase with a 5 percent deposit and no LMI. Eligibility depends on factors such as your income, whether you have owned property before, and the price of the home, so it is worth checking your position early through our First Home Buyers service.

Keep a digital copy of your visa grant notice or ImmiCard on hand, since most lenders will ask to see it during the application process.

Step 2: Gather your Australian and overseas income history

Lenders want a clear, verifiable income history before they assess what you can borrow. If you are newly arrived, start gathering recent payslips, your employment contract, and Australian bank statements as early as possible.

Overseas income and savings can sometimes be used to support your application, but most lenders apply closer scrutiny to anything earned outside Australia. Foreign income is often discounted, and the documentation bar is higher, so be ready to provide certified, translated copies of any overseas tax records or bank statements.

This is also where two lenders can read the same payslip differently. Our guide on why your annualised income looks different between banks explains why.

Step 3: Find a broker who speaks your language

Mortgage paperwork is dense even for native English speakers. Reading it in your second or third language, while trying to understand terms like genuine savings, serviceability, and comparison rate, adds a layer of stress that is entirely avoidable.

A broker who can explain your options in your own language reduces the chance of missing something important, and gives you the confidence to ask questions you might otherwise hold back. Laxmi Home Loans works with clients in English, Nepali, and Hindi, and has supported many migrant families through this exact stage of their property journey.

Still deciding whether a broker or a bank is the better starting point? Our comparison of a broker versus a bank for your home loan breaks down the difference.

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Step 4: Save and document your deposit

Most lenders want to see genuine savings, meaning money held in your own account for at least three months. A deposit built up gradually is generally viewed more favourably than a sudden lump sum with no clear history.

A gifted deposit from family is usually accepted too. The lender will typically ask for a signed gift letter confirming the money does not need to be repaid.

If you qualify for the First Home Guarantee, your deposit can be as low as 5 percent of the purchase price with no LMI. If you work in an eligible profession such as nursing, it is also worth checking our guide to no LMI home loans for Nepali nurses, since some lenders waive LMI for eligible professions outside the government scheme too.

Step 5: Get pre-approved before you start inspecting properties

Pre-approval gives you a clear borrowing limit before you start looking, so you are not wasting time on homes outside your budget. It also signals to agents and vendors that you are a serious, finance-ready buyer.

Try our borrowing power calculator for a rough estimate, then confirm the real figure with your broker. Pre-approval generally takes a few business days, though this varies by lender and how complete your documents are.

Step 6: Search for your property and make an offer

With pre-approval in hand, you can search with more confidence and move quickly when the right property comes up. Have your broker or solicitor review the contract of sale before you sign, particularly the finance clause and its timeframe.

If you are relying on a government scheme, confirm any conditions, such as moving in within a set period, before you commit to the purchase.

Step 7: Move through formal approval

Once you have a signed contract, the lender will order a valuation of the property and review your complete application. Respond quickly to any document requests at this stage, since delays here can push out your settlement date.

Once approved, you will receive a formal loan offer to review and sign before settlement is booked.

Step 8: Settlement day and beyond

On settlement day, the loan funds transfer and the property officially becomes yours. Arrange home insurance before this date, since most lenders require cover to be in place from day one of ownership.

After settlement, keep your broker’s details on hand. A loan review every year or two can help confirm you are still on a competitive rate as your circumstances change.

Common lending misconceptions among migrant home buyers

Many recently arrived buyers, including a large number of the South Asian migrants we work with, carry assumptions about Australian lending that are not quite accurate. Here are the ones we hear most often.

Do I need to be an Australian citizen to get a home loan or use government schemes?

No. Most lenders treat permanent residents the same as citizens for standard home loans, and eligible permanent residents can also access the First Home Guarantee alongside Australian citizens.

Do I need approval from the Foreign Investment Review Board to buy a home?

Generally no, if you are a permanent resident ordinarily living in Australia. FIRB approval mainly applies to temporary visa holders and non-residents, not settled permanent residents.

Can I use my overseas income or savings when I apply?

In many cases yes, though lenders look more closely at anything earned outside Australia and may discount it. You are usually in a stronger position if you can show a clear Australian income alongside any overseas income or savings.

Do I need a 20 percent deposit because I am a permanent resident?

Not necessarily. Eligible permanent residents can access the First Home Guarantee with a deposit as low as 5 percent and no LMI, on the same terms as Australian citizen first home buyers.

Will lenders reject me because I have only lived in Australia a short time?

Not automatically. Lenders focus on your employment stability and income history rather than your length of residency alone, though it is worth confirming your position with a broker who knows which lenders are more flexible on this point.

Talk to a broker who understands your journey

You do not need to navigate this on your own. Book a free, no obligation chat with the Laxmi Home Loans team to talk through your PR status, your income, and what the journey from deposit to settlement looks like for you.

Book a free consultation or call 0433 589 626.