Government employment, permanent positions, and stable income make teachers ideal borrowers. Get competitive rates and special benefits.
Teachers are considered low-risk borrowers with exceptional job security and reliable income.
Public school teachers are government employees with permanent positions. This is the ultimate job security in lending assessments.
Salary scales are published and guaranteed. Lenders know exactly what your income will be in 5, 10, even 20 years.
Teachers have historically low mortgage default rates. Stable employment and responsible financial behavior make you safe bets.
Annual increments and progression up salary scales are automatic. Your income grows predictably throughout your career.
Access favorable lending conditions designed for education professionals.
Some lenders offer 0.1-0.2% rate discounts for government employees including teachers. While smaller than medical professional discounts, it still adds up.
Savings Example
$600K loan × 0.15% discount = $900/year or $27,000 over 30 years
Government employment verification is straightforward. No need for complex income verification - your teaching employment is considered gold standard.
Approval Timeline
Submit → 2-3 days → Conditional Approval → 5-7 days → Full Approval
Your full annual salary counts for serviceability, including school holiday periods. Lenders understand teachers are paid during holidays.
Income Recognition
Full annual salary used for borrowing calculations, not term-time only
While not fully waived like medical professionals, teachers often receive 10-20% discounts on LMI premiums due to stable employment.
LMI Discount
$600K purchase (10% deposit) = Save $1,500-$2,500 on LMI
Department of Education employment makes income verification straightforward. Just need payslips and employment letter.
Required Documents
Government employment status can improve serviceability calculations, allowing you to borrow slightly more than private sector employees.
Borrowing Power
$90K income = $500K - $580K borrowing capacity
Understanding how your teaching salary translates to borrowing power.
Annual Base Salary
$82,000
Year 1 - Step 1 (2025 rates)
Annual Base Salary
$128,000
Senior position (2025 rates)
*Borrowing power is indicative only and assumes single borrower with no other debts. Actual capacity varies by lender and personal circumstances.
These lenders offer favorable terms for government employees and education professionals.
Variable Rate from
5.89%
Comparison Rate 6.01%*
Best for: Teachers wanting a full-service bank. Strong government employee recognition.
Gov't Discount
0.1% off
Max Loan
$2.5 million
✓ Government employee package • ✓ Fast approval for permanent teachers • ✓ Branch access nationwide • ✓ Mobile app rated #1
Variable Rate from
5.92%
Comparison Rate 6.05%*
Best for: Early-career teachers. Flexible lending for recent graduates.
LMI Discount
10-15%
Application Fee
$0
✓ Graduate-friendly • ✓ Simple income verification • ✓ LMI discounts for gov't workers • ✓ Offset account
Variable Rate from
5.84%
Comparison Rate 5.96%*
Best for: Teachers wanting lowest rates. Digital-first approach with competitive pricing.
Annual Fee
$0
Approval Time
2-3 days
✓ Lowest ongoing rates • ✓ 100% online application • ✓ No fees • ✓ Backed by NAB
Variable Rate from
5.87%
Comparison Rate 5.99%*
Best for: Teachers relocating interstate. Strong regional presence.
Public Sector
Recognized
Branches
800+
✓ Public sector expertise • ✓ Relocation assistance • ✓ Branch network • ✓ Redraw facility
We compare 32+ lenders to find your best rate as a teacher.
Get Your Rate →Absolutely! Graduate teachers with permanent Department of Education positions are considered excellent borrowers. Lenders understand your salary will increase annually with the salary scale. You'll need your employment contract showing permanent status, 2 recent payslips, and proof of completion of your teaching degree. Most lenders will approve you even if you've only been teaching for 3-6 months.
Temporary and casual teachers can still get approved, but it's more challenging. Most lenders prefer permanent positions. If you're casual/temporary, you'll need 12-24 months of consistent teaching work and evidence you're likely to continue (e.g., ongoing contracts, regular placement at the same school). Some specialist lenders are more flexible with non-permanent teachers. Once you secure a permanent position, refinancing becomes much easier.
Yes, but you'll need to show consistent history. If tutoring is done through a company (with payslips), 3-6 months history is usually sufficient. Private tutoring requires 1-2 years of tax returns showing this income. Most lenders will accept 50-80% of your tutoring income for serviceability calculations. It's best when tutoring is supplementary to your main teaching salary rather than your primary income source.
HECS/HELP debts do reduce your borrowing capacity, but less than you might think. Lenders use your HECS repayment amount (shown on your payslip) in their serviceability calculations. For example, a $50K HECS debt typically reduces borrowing by $30K-$50K. The good news is that as your teaching salary increases, your borrowing capacity increases despite HECS repayments going up. Some lenders are more HECS-friendly than others, so it's worth comparing.
Yes! Teachers frequently relocate for positions, especially between metro and regional areas. Lenders understand this. You'll need your new employment contract showing start date and salary. Regional relocations can actually work in your favor - regional property is more affordable and some lenders offer regional incentives. If you haven't started the new position yet, some lenders may require you to have commenced employment before settlement.
Not necessarily! While moving up the salary scale improves borrowing capacity, waiting means renting longer and potentially watching property prices rise. Many teachers successfully buy on graduate salaries using the First Home Guarantee (5% deposit, no LMI). Your guaranteed annual salary increases make lenders comfortable lending to you even at lower steps. Run the numbers - you might be surprised at what you can afford now, especially with a partner's income included.
Complete our 2-minute assessment and we'll calculate your exact borrowing power as a teacher, plus show you the best lenders for government employees.
✓ Permanent & temporary teachers welcome • ✓ No obligation • ✓ Government employee expertise
