Home loans for nurses: LMI waivers and deposit options

If you're a registered nurse, a lender may waive your Lenders Mortgage Insurance (LMI) with a 10% deposit plus buying costs. I'd compare that saving with how much of your pay the lender will count. A waiver can be useful, but the loan still needs to cover the home you want and repayments you can afford.

If you'd like more background, our LMI guide explains the premium and our LMI waiver guide covers the wider options. The deposit calculator can help you add up the cash you'll need.

The property can change which of these options works for you. Hannah's purchase is a good example of why I'd ask about an existing tenant before you rely on a scheme.

The loan to value ratio, or LVR, is the loan divided by the value the bank accepts. On an $800k home, a $720k loan is 90% LVR. You cover the other $80k of the price, plus buying costs.

Suppose you've saved $80k and found an $800k home. A 10% deposit uses all $80k, leaving a $720k loan. Before going further, I'd want to know how you'll cover the buying costs and what you'd have left in the bank.

If you qualify for the 5% Deposit Scheme, the home is within your area's price cap and the lender accepts the minimum deposit, you could put in $40k and borrow $760k. You keep $40k more of your savings, but you also owe $40k more.

This example assumes the bank values the home at the $800k purchase price. A lower valuation could mean you need more cash. A Scheme lender may also ask for more than the minimum 5% deposit.

I'd allow separately for duty, registration, legal fees and inspections. Our buying costs guide helps you work through those bills before deciding how much of your savings to use.

On a separate $1m purchase, a 10% deposit is $100k and the loan starts at $900k. A standard loan could add about $24k in LMI. An eligible nurse waiver removes that premium.

These figures use an illustrative $24k premium paid upfront. Your lender's actual premium can differ from this example and our calculator estimate. If the lender lets you add it to the loan, you'd owe about $924k and pay interest on the premium too. Buying costs are extra.

If a waiver doesn't fit, I'd still compare the LMI quotes. The earlier comparison below used a $650k loan on a $725k property. Total premiums, including duty, ranged from $15,741 to $21,785: a $6,044 difference for the same loan and property figures.

Those are historical figures, not a quote for your application. They show why I'd compare the premium alongside the interest, fees and features rather than assume every standard loan costs the same.

I'd start with your Ahpra registration and the role on your payslip. You might be a clinical nurse, educator or nurse manager, but it's your underlying registration that helps determine which professional waiver is available.

Working outside a public hospital doesn't automatically rule you out. Tell me if you're in a private hospital, aged care, community nursing or an agency so I can compare the right employment requirements.

You can look up your registration on the Ahpra register. I'd then check the income minimum and employment rules in the lender comparison. Your deposit, debts, credit history and the property still need to fit.

If overtime and shift penalties make up a fair chunk of your pay, I'd want to look at those before comparing lenders. They don't all count that income the same way, and that can change how much you can borrow. Your base salary alone may leave out an important part of what you earn.

I'd check which payments People First will count towards the waiver's income minimum. That's separate from how much of your overtime and allowances it uses to work out the loan amount.

Westpac and St George can count 100% of eligible overtime and allowances for qualifying nurses, including hospital employed nurses. I'd check the type of pay and your income history before relying on that full amount. Self employed applicants have different income requirements.

On $30k of regular annual overtime, accepting 100% instead of 80% means the lender uses another $6k of income. It doesn't mean you can borrow only $6k more. I'd work through your debts, expenses and repayments to see what difference it makes to your borrowing amount.

If your work has changed, our casual employment and new job loan guides explain the evidence that can help. Our HECS guide covers how student loan repayments can affect the amount you can borrow.

Planning leave? Our parental leave home loan guide explains the return to work evidence to prepare.

Saving LMI is a good starting point. I'd also want to know what the loan costs each month and how much cash you'll have left after buying. If another option charges LMI but works out cheaper overall, I'd put that alongside the waiver so you can compare the two.

The sources below include public lender offers and People First's lending conditions dated 8 September 2026. Buying costs are extra for every option.

If you have less than 10% saved, I'd look at whether the Australian Government 5% Deposit Scheme could help. It has no income cap, but you still need to meet the buyer rules, stay within your area's price cap and get approval from a participating lender.

For an existing home, you need to move in within 6 months of settlement. Hannah's story shows why I'd ask about the lease before you commit to a tenanted property.

If you're buying an investment, I'd compare People First's public offer and ubank's general no LMI option, then confirm the investment rules for any other nurse waiver. The Government Scheme is for a home you will live in.

A family member may be able to use equity in their property to help you buy with less cash and reduce or avoid LMI. I'd talk through the risk with you both: their property is at risk if you can't repay, and they need independent legal advice. You still need enough income to afford the loan. Our guarantor guide explains how it works.

I'd check grants and stamp duty concessions separately from the loan. What you can claim depends on where you buy, the property and whether you've owned a home before. Our first home buyer grants guide explains the options.

Before counting a grant or concession in your budget, check the current conditions with Queensland Revenue Office, Revenue NSW, State Revenue Office Victoria or the authority where you're buying.

We'll also need your ID, savings and debt details. I'd use those with your pay records to compare the borrowing amount and cash needed for each option. Our pre-approval guide explains what the lender still needs to check before you buy.

The lender pays us commission, which we disclose before you proceed. Hunter Galloway is independently owned, compares more than 30 lenders and must put your interests first. We explain relevant alternatives when a nurse waiver is not the best fit.

Read how we review lenders for our approach to the comparisons.