applying for an iba home loan

From 24 August, the current online Expression of Interest form for IBA home loans will be unavailable as we transition to a new version. 
During this time, likely to be a number of weeks, you won’t be able to fill out an Expression of Interest. There may also be temporary delays to processing times. We’ll be in touch once the transition is complete and our services are back online.

Preparing for an IBA Home Loan

Buying a property can be daunting so it’s important to prepare before beginning the process. To help we’ve put together some useful tools.

Use IBA’s Home Loan Calculator to explore your potential borrowing capacity and repayments. This is important as it can shape where and what type of property you might be able to afford to buy. Although this tool is indicative and your borrowing capacity may differ once you begin the formal application, this provides a helpful guide to understand how your borrowing capacity is determined and impacted by a range of factors including your deposit, how much you earn and your existing assets, expenses and liabilities.

IBA offers a range of free workshops that can support you in becoming financially prepared for buying your own home and maintaining home ownership. We recommend you start with our Budgeting for Home Ownership workshop and work through our other workshops as you progress through the various stages of your home buying journey.

What happens next?

Once you’re ready, register your interest in applying for an IBA home loan by completing the online Expression of Interest (EOI) form. When completing this form, it is important to provide as much accurate information as possible so that we can make a true assessment of your individual circumstances.

From 24 August, the current online Expression of Interest form for IBA home loans will be unavailable as we transition to a new version. 

Within 60 days of submitting your EOI, one of our Home Loan Officers will contact you to discuss your circumstance and eligibility. If you are eligible and ready to apply for an IBA home loan, we will add you to the register and you will then be invited to apply for an IBA home loan. As we experience high demand for our home loans and we focus on high customer service, this process might take 3-6 months.

Home loan application

Once you have been invited to apply for an IBA home loan, you will be asked to submit a Home Loan Application and other supporting documents. We will use this information to verify the following information and assess your eligibility for an IBA Home Loan.
We verify your:

  • Identity
  • Aboriginal or Torres Strait Islander decent
  • Income and employment
  • Savings history
  • Rental history
  • Current living costs and expenses
  • Existing assets, debts and liabilities
  • Credit history
  • Any other information relevant to your application.

If you want to know what information about you is held by the credit reference agency used by IBA, you can request a copy by visiting Equifax.

Once the assessment has been complete, and if you successfully meet all the criteria, our staff will advise you of your pre-approval, the amount that you are able to borrow, and you can start looking for a home to buy. It is important that you do not make any offers on a property or enter into a contract of sale until after your loan has been pre-approved by IBA.

As everyone’s circumstances are unique, there may be cases where IBA can only provide you with a loan that covers part of the funds you need to buy a home. In these cases, you will need to borrow the remaining funds to complete your purchase from another lender.

Who is eligible to apply for an IBA home loan?

To be eligible for an IBA home loan, the following criteria must be met:

  • At least one applicant must be of Aboriginal and/or Torres Strait Islander descent
  • be Australian citizens or permanent residents
  • be at least 18 years of age
  • be able to contribute the relevant deposit/equity required
  • have the capacity to meet home loan repayments
  • meet other home loan product criteria relevant to your home purchase
  • intend to reside in the home being purchased as your principal place or residence.

Types of homes that can be purchased or built

IBA home loans are for purchasing a home to meet your family’s needs. For construction loans, the house being built must be of a suitable standard and will generally not include unnecessary extras, such as luxury fittings.

IBA will not provide home loans for purchasing an investment properties or where the property will be used predominantly for business purpose may be used for business purposes. 

The video below talks about the key documents you'll need when applying.

Get in touch with us

If you have any questions or want to have a yarn with one of our friendly staff about IBA’s home loan process, you can call us on 1800 107 107 or submit an inquiry using our online form.

This information is prepared based on general information. It does not take into account individual financial needs or objectives, and it does not constitute as financial product advice.