3 minute read
The short answer is yes!
While life as a travel nurse comes with many adventures and time away, we know there is no place quite like home. So, we want to stress that you can still meet qualifying criteria for banks as a travel nurse.
In fact, the higher earning potential at Affinity can help you hit your financial goals faster, helping you with the great Australian dream!
We write this of course assuming that you haven’t ‘spent your house deposit at the local café on smashed avocado,’ to quote a well-known politician.
If so, we don’t know how to help there, but hey, neither does ScoMo apparently.
We have compiled a few tips below to help you navigate working as a travel nurse and lending. It’s all about helping yourself look good on paper for the lenders!
1. What is the lender thinking?
When a lender hears “contract work”, they can hear “self-employed” or “uncertainty”.
How will they know a contract worker can repay a loan?
If the borrower works in a fluctuating industry, this is reasonable thing to be apprehensive about.
How will they know 12 weeks at a facility will secure a loan? Ring any bells?
Luckily, the nature of travel nursing is unique to the rest, since there is always going to be the need for healthcare in rural & remote areas. It’s easy to pick up back-to-back contracts and maintain a constant stream of income.
Or you can pick up a van and travel around Australia! RN Ellie & Seamus
2. Give them a letter of explanation
Most lenders are conditioned to see full-time workers with a salaried income, nestled in one location. They may not understand the nuances of travel nursing like working for 6 months and then taking a 3-month break.
What clears the mud is explaining how travel nursing works and giving them as much context as possible to show you can pay off a loan.
Affinity can also provide you with a letter of support to provide to your lender, each of which is tailored specifically to your situation.
Give your consultant a nudge so they can get the wheels in motion!
3. Taxable vs. Non-Taxable Income
Your base pay and income are separate from any reimbursements. Your allowances are classified as income, so these can be used in your tax returns.
But keep in mind that not all allowances are entitled to a deduction. Find more information on ATO’s website.
Some agencies offer many financial bonuses, so it helps to know what you can’t claim when tax time comes around. Lenders will not see it as income, so this will help you in the long run when you pick up a loan. When in doubt, here are some questions you should ask your accountant!
Most healthcare workers can borrow around 80% without LMI, provided you have a 20% deposit for an owner-occupied home. Some can even borrow up to 90% with a strong income and credit background.
When you’re ready to settle down, or just have your own place to come home to, the perks of travel nursing can help you achieve owning your own home!
Note: Our cheeky placement specialists have asked us to confirm that by ‘settle down,’ we mean on a short-term basis inbetween contracts – because hey, who wouldn’t want to be a travel nurse!
Now, you can rest easy knowing your financial goals can stay on track and become a homeowner in due time.
Make your travel nursing career the best experience possible, and register with Affinity today!
You may also like:
