Guide On Apply for a Joint Home Loan With Spouse in Quick 5 Minutes

Introduction to Joint Home Loan

In Australia, lenders allow married couples or live together, even if only one of them receives a verifiable income, to jointly apply for a home loan in Melbourne.

They can also allow family trusts to apply for a loan, with the non-working partner called the owner.

However, loans to single-income couples are deemed riskier because loan repayments may be impaired in the event of any relationship problems.

You would need to follow stringent lending requirements to apply for a home loan Melbourne as a couple when only one of you is employed.

For instance, if you intend to live at home and not purchase property as an investment, you will only be eligible to apply.

Why can’t you apply for a home loan from a non-working partner?

Many lenders only prefer lending to be salaried or self-employed professionals who can provide verifiable evidence of revenue.

As this may not be feasible for unemployed or non-working spouses, even though they have informal income sources, lenders may not accept home loan requests from them.

Although you and your income-earning spouse may approve a joint home loan application from individual lenders, such a request may face a higher degree of scrutiny than other home loan applications.

Couples will also need to prove that they are married or are de facto partners, in addition to income verification and credit checks.

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Some home loan brokers may also check whether the salaried spouse is liable to face any legal challenges that could result in a claim against their assets.

Buying property in the non-working partner’s name is common in such cases, although lenders may still consider lending to such couples to be a risky proposition.

Suppose the couple creates a family trust owned for paperwork purposes by the non-working spouse and applies for a loan through the faith.

Some lenders may only lend to this organization if the individual receiving a regular income is listed as a trusted recipient or, if not a trustee, is a director or unit holder. Again, this means that the trust meets other lending conditions.

Is there any way non-working partners can seek a home loan?

Your best choice could be to request a home loan application with both you and your wage-earning spouse listed as applicants if you are a non-working partner and are looking to qualify for a home loan.

Remember that you will also be the sole owner of the home that the two of you intend to purchase.

However, you and your spouse may want to estimate your overall income before approaching a lender or applying for a home loan.

It will include the wages of your partner and any rental income and your informal earnings, which you can use as investments for household expenses or accumulate.

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You can measure your borrowing power based on your salary and daily expenses – the sum you can realistically afford to borrow and pay for your home loan.

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The savings you may bring together can also be estimated, meaning you will need to put down a deposit of at least the amount of the value of your house.

In rare situations, a few lenders may provide home loans that require as little as 5% as the deposit, such as if your spouse has an outstanding or above-average credit score, or works in a profession whose members are deemed less likely to default on debts.

If your spouse has just an average credit score or has credit repayment problems in the past, before applying for the home loan, you may want to consult a financial planner and take steps to boost the credit score.

Alternatively, you can ask a mortgage home loan broker to help you find a lender that offers a home loan acceptable for your financial circumstances.


It could be a smart idea in today’s days and age to buy a joint house. It implies that the greater the loan size, the greater the place, and a twin tax gain.

Of course, you need to bear in mind the likelihood of changing the relationship dynamics in the future, which might affect your life’s most significant financial investments. 

Accounts Nextgen provides a full solution for your home loan process, contact us for more details.

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