The short answer: a relocation loan is a personal loan used to pay for moving costs, such as removalists, a new rental bond, rent in advance, travel and connecting utilities. You borrow a fixed amount and repay it over an agreed term, usually one to seven years. It works best for a short gap, like covering a new bond before your old one is refunded, repaid within a year or two.
Noma Finance compares personal loan options across a panel of around 25 lenders, so you see the total cost of a relocation loan before you sign, not just the weekly repayment. Noma works with clients Australia wide, entirely online, so you can sort finance from your old city, your new one, or the road in between. Our view is simple: a move is a short-term cost, so borrow only the gap and match the term to how quickly you can clear it.
A relocation loan is a personal loan used to cover the costs of moving house, interstate or for work. You borrow a lump sum, pay for removalists, bond, rent in advance and setup costs, then repay it in regular instalments. Most relocation loans are unsecured, with a fixed or variable rate, and repaid over one to seven years.
There is rarely anything special about a product labelled a relocation loan or moving loan. It is a standard personal loan with moving as the stated purpose. That means you can compare it like any other personal loan: on the comparison rate, the fees and the total cost.
Some employers offer relocation assistance as part of a new role. If yours does, check what it covers before you borrow anything. The tax treatment of employer relocation payments depends on your circumstances, so speak with a licensed tax adviser about how it applies to you.
Relocation loans work like any personal loan: you work out the gap in your moving budget, compare loans on total cost, and repay the loan over a set term. Here is the process in order.
Moving costs are mostly one-off and upfront, which is why they catch people out. ASIC's Moneysmart lists a rental bond and up to four weeks' rent in advance among the one-off costs of moving, on top of ongoing rent and bills.
A realistic moving budget includes:
The bond overlap is the cost most people forget. For a few weeks you may have one bond still held on your old place and a new bond paid on the next one. That short gap is often the most sensible thing to borrow for, because the refund gives you a clear way to repay it. Our budget planner helps you map the full cost before you commit.
There are five common ways to pay for moving costs, and most people use more than one. Savings and your old bond refund should do most of the work, with finance covering only the gap.
A credit card can suit a single cost you clear within the interest-free period. Spread over several years, it usually costs far more than a personal loan. Our guide on how personal loans, credit cards and BNPL compare covers the trade-offs in more detail.
The true cost of a relocation loan is the total interest and fees you pay over the term, not the repayment amount. Here is an illustrative $6,000 interstate move paid for four different ways.
The one-year loan costs about $330 in interest, while stretching the same loan to three years costs about $970. Carrying the move on a credit card for three years costs about $2,030. On a loan this size, fees can matter as much as the rate, so always compare the comparison rate. If you want a benchmark, our guide to what counts as a good personal loan rate sets out the ranges.
To get a home loan when relocating, you need to show a lender your income is stable in the new location. Lenders look at how long you have been in your job, whether you are on probation, and whether your new role is in the same line of work. Your deposit, existing debts and living costs in the new city all count too.
Most people are told their credit score is the problem, when the bigger issue is often what they already repay each month against what they earn. If you are buying your first home after the move, our guide to first home buyer schemes in Australia explains what support you may be able to get.
A broker compares personal loans and home loans across a panel of lenders rather than offering one bank's product. When you are moving, that matters twice: once for the moving costs, and again if you plan to buy, because lender policies on new jobs and probation vary widely.
At Noma Finance, we start with your moving budget and what you already repay, then compare rate, fees, term and total cost across around 25 lenders. Everything is handled online, so it does not matter which side of the move you are on. You see every number before you sign, and in most cases there is no cost to you, because the lender pays the broker's commission. You can see everything we help with on our services page.
A relocation loan is a personal loan used to pay for moving costs, such as removalists, a rental bond, rent in advance and travel. It is usually unsecured and repaid over one to seven years. It works the same way as any other personal loan.
You work out the gap in your moving budget, compare personal loans on total cost, and apply for the amount you need. The lender pays you the funds, and you repay in regular instalments over the term. Paying your old bond refund onto the loan shortens it.
Yes. Most personal loan lenders accept moving as a loan purpose. Approval depends on your income, existing debts and living expenses, including your rent in the new location.
Some lenders will lend on a new job with a signed employment contract, especially if it is in the same line of work. Others want you past probation. Comparing lenders first helps you apply with one that suits your situation.
Show the lender your income is stable in the new location, with payslips from your new role and a clear picture of your existing debts. Some lenders accept a new job straight away, others want you past probation. Grants and concessions follow the state where you buy.
For more than a few thousand dollars, a personal loan is usually cheaper because the rate is often lower and it has an end date. A credit card can suit a small cost you clear within the interest-free period.
No, but some employers offer relocation assistance as part of a new role. Check your offer before you borrow. The tax treatment depends on your circumstances, so speak with a licensed tax adviser.
Yes. A broker compares personal loans across multiple lenders and shows the total cost before you sign. In most cases there is no cost to you, as the lender pays the commission.
General information disclaimer. This article is general information only and does not take into account your objectives, financial situation or needs. It is not financial or credit advice. Any rates, repayments and figures shown are illustrative only, correct as at the date shown, and will vary with your situation and the lender. Consider whether the information is right for you, and seek advice from a licensed professional before making a decision.
Credit Representative 544208 is authorised under Australian Credit Licence 389328. Van Rosmalen Group Pty Ltd, trading as Noma Finance.
Last updated: 9 October 2026
Sources last checked: 9 October 2026
Written by Ashley, founder of Noma Finance. Before becoming a finance and asset broker, Ashley worked at car dealerships, and has personally held every loan type Noma helps with. Noma compares options across a panel of lenders to help people find finance that fits their situation, explained in plain English.
This article is general information only. It does not take into account your objectives, financial situation or needs, and it is not financial, credit or tax advice. Consider whether it is appropriate for you and seek advice from a licensed professional before making a decision. Tax outcomes for novated leases and chattel mortgages depend on your circumstances, so speak with a licensed tax adviser or accountant. Any figures used are illustrative only.
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