Home Loans for Engineers: LMI Waivers and What to Use Instead

Which lenders waive LMI?

Lenders' own published policies, checked 29 September 2026. A policy is not an approval: each lender assesses your application and can change or withdraw an offer.

How much LMI would an engineer pay?

With no waiver, an engineer who borrows more than 80% of the property's value pays LMI like any other buyer. At 90% LVR (a 10% deposit), published lender figures put the premium at about:

NSW, where there is no duty on LMI. Other states add 9% to 11% to the premium. Built from LMI figures Australian lenders publish.

Do NAB, Westpac or Macquarie waive LMI for engineers?

No. None of the three names engineers on a published waiver list, as at 29 September 2026. The claim appears in comparison and broker articles, so we checked each version against the lender's own pages:

Some lenders keep parts of their policy in broker systems, and Bankwest is one: it has an industry professional waiver but does not publish who qualifies. If a broker tells you a lender will waive LMI because you are an engineer, ask for that lender's written policy before you rely on it.

Westpac's overtime rule for engineering roles

The only lender policy we found that names engineers is an income rule, not a waiver. Westpac, St.George, Bank of Melbourne and BankSA can count 100% of overtime and allowances as income for listed “core building and essential trade” roles. Two of them are engineering or survey roles:

• Aircraft maintenance engineers
• Surveyors and spatial scientists

The same list covers electricians, metal fitters and machinists, and other trades. Civil, mechanical, electrical, mining and software engineers are not named.

St.George sets out the conditions: your income evidence must be with the same employer for at least 6 months (applications that fall short may still be referred), and the rule is not open to the self-employed. Casual employees and PAYG contractors can use it. Counting all your overtime can lift how much you can borrow, but LMI still applies above 80% LVR.

How lenders assess an engineer's income

Lenders sort engineers by how they are paid, not by job title (lender pages read 29 September 2026):

• Salaried engineers: payslips. ANZ asks for a recent payslip, no older than 60 days, showing at least 3 months of year-to-date pay, unless your salary already goes into an ANZ account. Westpac treats allowances and bonuses as non-base income and asks for a year-to-date payslip covering at least 3 months, or a payslip plus a year-to-date income statement.
• Contract engineers paid through PAYG: ANZ's documents guide lists bank statements showing six months of salary credits for contract, temporary and casual work, against three months for permanent staff. At St.George, PAYG contractors can use the overtime rule above.
• Contractors with their own ABN or company: self-employed. CommBank asks sole traders for their two most recent personal tax returns and the latest notice of assessment. Westpac points borrowers who need to pay LMI to its standard 2-year assessment and says your business should have traded for at least 2 full financial years. NAB accepts a single year's financials only at 80% LVR or less. ANZ asks for one financial year of tax statements for most applications, and an ABN or ACN that has been valid for 18 months.

We found no lender page that sets out how FIFO, site or remote allowances are counted. If much of your pay comes from them, ask each lender how it treats them before you apply, and make sure they show on your payslips.

How engineers can still avoid LMI

ubank. ubank does not charge LMI up to 90% LVR for anyone, so an engineer can buy with a 10% deposit and no LMI on an owner-occupied or investment loan repaying principal and interest. Refinances to live in need 15% equity, and ubank's usual credit checks still apply.

The 5% Deposit Scheme. First home buyers in any job can buy with a 5% deposit and no LMI, under a price cap for the area: in NSW, $1,500,000 in Sydney and the regional centres and $800,000 elsewhere, as at 29 September 2026. You must live in the home and borrow through a participating lender. The full rules are on the 5% Deposit Scheme page.

A family guarantee. A parent or other close relative offers equity in their own property as extra security, which can bring your LVR to 80% or below so no LMI applies. Westpac's Family Security Guarantee and St.George's Family Pledge both lend up to 100% of the price plus costs with one. Your guarantor takes on real risk, so they should get their own legal advice. See how a guarantor home loan works.

If family would rather help with the premium, BOQ takes 15% off the LMI when a family member pays it at settlement. That is a discount, not a waiver.

Compare every route in how to avoid LMI, or see all professions in LMI waiver rules.

Frequently asked questions

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