Reviewed by Sana Hosseini, Medical Mortgage Broker and Australian Credit Representative 371443.
Some nurses may be able to buy with a smaller deposit without paying lenders mortgage insurance (LMI). That is a possibility, not a profession-wide entitlement. It may arise through a current lender policy or, for eligible first-home buyers, an Australian Government guarantee. The routes have different rules, so begin by identifying which one you are considering.
What LMI is—and what a waiver is not
LMI is insurance that generally protects the lender if a borrower defaults; it does not insure your repayments. It can be payable when borrowing above a lender’s standard LVR threshold. Avoiding LMI does not remove the need to repay the loan, pass credit assessment or fund purchase costs. ASIC Moneysmart explains LMI and suggests asking how to avoid it.
Route 1: a lender’s professional policy
A lender may offer a profession-based LMI concession to selected registered nurses or other healthcare workers. The eligible profession, registration, employment, minimum income, deposit, maximum LVR, property and loan-size rules are lender-specific and may change. Ask for the current written criteria that apply to your application. A lender can still decline a loan even if the occupation qualifies for a policy.
For a concrete example, Westpac’s published healthcare page lists registered nurses and midwives under a policy with stated income and LVR conditions. This is an example of one lender’s published criteria as checked on 30 September 2026—not an offer, guarantee or complete market comparison. Have a broker verify the latest version and whether the loan can be accessed in your circumstances.
When comparing offers, calculate more than the LMI amount. A loan with no LMI but a higher rate or fees could cost more over your expected holding period than an alternative. Ask for a side-by-side comparison of repayments, fees, features and total cost. Avoid treating advertised LMI savings as guaranteed personal savings.
Route 2: the Australian Government 5% Deposit Scheme
The Australian Government 5% Deposit Scheme is not a nurses-only benefit. Eligible first-home buyers may purchase with a minimum 5% deposit without LMI; the official scheme also describes a minimum 2% deposit route for eligible single parents or legal guardians. You apply through a participating lender, not directly to Housing Australia. Eligibility, property price caps and loan assessment still apply. Check the official current rules before relying on the scheme.
Questions to take to a broker
- Which exact lender or government route are we considering?
- Is my nursing role and registration eligible under the current written rules?
- How will penalties, overtime, agency shifts and allowances be counted?
- What deposit and purchase-cost buffer will I need after settlement?
- What is the total cost of this loan compared with other suitable options?
- What could change between pre-approval and final approval?
For profession-specific lending help, see home loans for nurses and discuss your circumstances with a broker. Do not make a property offer based on an assumed waiver.General information only; current policy and scheme rules must be verified at publication and before application. There is no guarantee of waiver, approval or savings.
Check the full cost, not just the LMI line
Ask a broker to test your actual eligibility and compare the complete loan terms.
Two-minute self-check
Frequently asked questions
Do all nurses get an LMI waiver?
No. Eligibility depends on the lender, nursing role, registration, income, property, LVR and current policy.
Does an LMI waiver mean no other fees?
No. Other purchase and loan costs can still apply, and a waiver does not guarantee a lower overall cost.