How each decision-maker treats a pending application
These are separate tests run by separate bodies, and a pending PR application counts for none of them.
| Who decides | What the official source says |
|---|---|
| Treasury (foreign investment) | Temporary residents are treated as foreign investors. From 1 April 2025 to 30 June 2029, foreign persons are generally banned from buying established dwellings. Holders of permanent visas do not need approval. |
| Treasury (joint purchases) | Joint tenants buying with an Australian citizen spouse, a permanent resident spouse, or a New Zealand citizen spouse who is eligible for a Special Category visa are listed as not needing to apply. |
| Revenue NSW | Temporary and bridging visa holders are foreign persons for the 9% surcharge purchaser duty. Holders of a Partner (provisional) visa (subclass 309 or 820) may count as ordinarily resident if they were in Australia at least 200 days in the 12 months before the liability date. |
| State Revenue Office Victoria | Describes foreign purchaser additional duty as an extra 8% on residential property. Check its pages for how a pending visa application is treated. |
| Queensland Revenue Office | A foreign individual is someone who is not an Australian citizen or permanent resident, so the 8% additional foreign acquirer duty (AFAD) applies. From 1 August 2026, transfer duty home concessions are limited to citizens, permanent residents and specified foreign retirees. |
| 5% Deposit Scheme | People who have applied for, are eligible for, or have been approved for permanent residency but have not yet received the visa do not meet the citizenship and residency test. |
The temporary visa home loans page covers the federal rules in more detail, and the guide to the 482 visa looks at one common pathway to PR.
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What lenders publish about temporary and bridging visas
Westpac's page says online applications are for Australian citizens and permanent residents, and invites other applicants to talk to a lender. Commonwealth Bank asks people on a permanent or temporary visa to book an appointment to check whether their visa classification is eligible. Neither page says that a pending PR application changes the answer.
Lenders mortgage insurance adds another layer. Helia's underwriting guidelines (effective 10 August 2026) cover which borrowers are acceptable and unacceptable, and refer to the visa eligibility of the proposed borrower (section 3), so the insurer's rules are worth asking about. Helia's guidelines page adds that it will consider a proposal outside the guidelines on individual merit.
Broker pages give the lender-by-lender picture, and they are secondary sources:
- One broker's comparison (lender records from 30 July 2026, with some visas rechecked on 7 October 2026) records maximum loan sizes for temporary visa holders of 95%, 90%, 80% and 70% of the property value, depending on the lender and the visa. It says only some lenders go to 95%, and that one lender's insured option needs a qualifying visa with at least 12 months remaining.
- A second broker page says most mainstream banks decline a bridging visa because it has no fixed end date for the lender to assess. It says the specialist lenders that consider one often lend between 60% and 80% of the property value.
The bridging visa and partner visa guides cover those two situations, and the deposit guide for temporary residents shows what each limit means in dollars.
What changes on the day PR is granted
Several tests switch at once, because each one asks whether you hold a permanent visa:
- Foreign investment. Treasury's guidance note gives an example of a permanent resident buying an established dwelling in May 2025 without approval, because permanent visa holders do not need approval. The ATO's page adds that permanent residents who are not ordinarily resident in Australia may in some circumstances still be foreign persons, and Treasury's key concepts page defines ordinarily resident as being in Australia for 200 or more days of the preceding 12 months. If you expect to spend long periods overseas after the grant, ask a solicitor which applies.
- 5% Deposit Scheme. The residency test is met if you are a citizen or permanent resident on the Home Loan Date, the date you sign the loan agreement. The other tests still apply, including having saved at least 5% and having held no interest in Australian property in the last 10 years.
- First home grants. Revenue NSW says benefits are not available to temporary residents and cannot be backdated to when permanent residency is obtained. The first home buyer schemes guide lists the test in each state and territory.
Duty surcharges are the largest cash item. On a $750,000 purchase by a sole foreign buyer, using the price as the dutiable value and assuming no exemption, the surcharge alone is:
| State | Surcharge rate | On $750,000 |
|---|---|---|
| New South Wales | 9% | $67,500 |
| Victoria | 8% | $60,000 |
| Queensland | 8% | $60,000 |
| Western Australia | 7% | $52,500 |
That is on top of ordinary transfer duty, and each state works out dutiable value its own way. The sister guide at firbapproval.com.au sets out how the surcharges work.
When the grant arrives between contract and settlement
The date your status is tested differs by state, and the sources do not agree in tone. Revenue NSW says surcharge purchaser duty is charged on the dutiable value at the liability date, generally the contract date. It also lists as a refund ground that your foreign status changed so you were no longer a foreign person at the date the property was transferred to you, and says refunds are not automatic. RevenueWA has an application for an assessment or reassessment where the foreign status of a purchaser has changed. One broker page says a grant after signing does not automatically refund costs already triggered by the contract, and the Queensland pages reviewed do not address the point.
Your solicitor needs the visa grant date, the contract date and the settlement date to say which rule applies. The stamp duty guide covers the wider picture.
Refinancing after PR is granted
The pages reviewed do not say whether a lender re-prices or lifts a loan-size limit once PR is granted, so ask your lender, and any other lender, how it treats the new status. Moneysmart lists what switching can cost: break fees on a fixed rate loan, a discharge fee on the old loan, an application fee on the new one, and lenders mortgage insurance if you have less than 20% equity, which it says can outweigh the savings. It also presents having at least 20% equity and a good credit score as giving you more to bargain with.
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Frequently asked questions
Can I apply for a home loan while my PR application is pending?
Nothing in the official pages reviewed stops you from applying, and lenders decide their own policy for temporary visas. Westpac's online application is for citizens and permanent residents, and Commonwealth Bank asks temporary visa holders to check eligibility with a specialist. A pending PR application is not listed by either as changing the answer, so ask each lender directly.
Does being eligible for PR count as being a permanent resident?
No. The 5% Deposit Scheme guide says people who have applied for, are eligible for or have been approved for permanent residency, but have not received the visa, do not meet its test. Treasury's guidance says holders of permanent visas do not need approval, and the ATO treats someone on a bridging visa that lets them stay until a permanent visa application is finalised as a temporary resident.
Is it better to wait for PR before buying?
That depends on your own numbers, and no official source answers it. What the sources do show is what changes at grant: the foreign investment position, the duty surcharge, access to first home benefits and the 5% Deposit Scheme, and the lender options. Some people ask a solicitor for two dated assessments, one for signing now and one after the grant.
Does a citizen or permanent resident partner change things?
It can change several tests. Treasury lists joint tenants buying with a citizen or permanent resident spouse as not needing foreign investment approval, and brokers report that some lenders treat a mixed couple differently from a temporary visa holder applying alone. The 5% Deposit Scheme guide still requires every applicant to be a citizen or permanent resident, so a mixed couple does not qualify.
Can I refinance once my PR is granted?
Yes, you can ask any lender to assess a refinance on your new status, and the lender decides. Moneysmart lists break fees, a discharge fee, an application fee and possible lenders mortgage insurance as costs of switching. Whether duty already paid can be refunded depends on the state and your circumstances, so ask your solicitor before relying on it.
Sources
- How to apply for a home loan, Westpac
- Making the move: buying property in Australia as a foreigner, Commonwealth Bank
- LMI underwriting standards and guidelines, August 2026, Helia
- LMI underwriting and guidelines, Helia
- Guidance Note 6: Residential land, version 5, Foreign Investment (Treasury)
- Residential real estate, Foreign Investment (Treasury)
- Key concepts guidance, Foreign Investment (Treasury)
- Are you a foreign person buying property in Australia, Australian Taxation Office
- What is surcharge purchaser duty, Revenue NSW
- Surcharge purchaser duty for individuals, Revenue NSW
- First Home Owner (New Homes) Grant, Revenue NSW
- Understanding foreign purchaser additional duty, State Revenue Office Victoria
- Types of foreign persons for additional foreign acquirer duty, Queensland Revenue Office
- Home concession changes from August 2026, Queensland Revenue Office
- About foreign buyers duty, Western Australian Government
- Australian Government 5% Deposit Scheme Information Guide, 1 July 2026, First Home Buyers
- Switching home loans, Moneysmart (ASIC)
- Can you get a home loan on a temporary visa (broker page), Hunter Galloway
- Bridging visa home loans (broker page), Hunter Galloway
Checked 7 October 2026.
Expat Finance is an independent guide. It is not a lender, mortgage broker or credit provider, it does not hold an Australian credit licence, and it does not give credit, legal, tax or migration advice. It is not affiliated with any bank, the ATO or the Foreign Investment Review Board. General information only, not legal, tax, migration or financial advice.