Forum Replies Created
Hi ASU,
If the problem lies with the mortgage insurers i.e. GE & PMI then perhaps ask your Broker to approach the lenders who self insure, failing that if 90% is the max available then you may need to borrow the remainder via a personal loan etc. cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi BJMACA,
You should have no problems extracting equity subject to meeting serviceability and the lenders policy.Regarding the 100% PPR loan, there are quite a few lenders/Banks currently offering these 100% products, Adelaide Bank have a fairly good 100% owner occupied product at the moment.
However if you have equity available then you may want to consider using some of that,
I.e. 20% + closing costs via equity in your IP’s and borrow the remaining 80% secured against the PPR, structured in this manner you would still be borrowing 100% of the purchase price plus costs but will avoid the high LMI premium on a 100% lend. I hope this helps, Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Poochi,
$1K seems very steep, on average $270 – $300 is the norm,
However, if you intend to refinance in most cases the incoming lender will include the cost of the valuation in the application fee, Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Bluemist & welcome to the forum,
You could use the equity available in your current property to fund the deposit and closing costs on the next purchase,
Basically you would have 2 loans, the first loan = 20% and closing costs etc of the new purchase, this would be secured by your current property, and the 2nd loan would be 80% of the contract price of the new purchase, this loan is secured by the new property.Structured in this manner you will avoid cross colaterisation and the need for Lenders mortgage insurance (LMI) I hope this helps, Cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
To add to Terry’s excelent comments,
It doesn’t necessarily have to be a LOC, you can also achieve this with a split loan, offset etc. cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
There are quite a few of these products available ranging from 100% to 107.5%
Adelaide Bank, Homeloans, Establishment loan, Mobius, Stg.Apart from the rates & fees you also need to take into account each lenders LMI premium, application fees & break costs,
In certain cases a 95% lend with LMI capitalised to 97% can be a much cheaper option, Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Jadam,
$10K is insufficient to cover your stamp duty & closing costs on a $325K purchase let alone a deposit.If you have equity I would suggest you could use that to fund the 20% deposit and associated costs, then set up a separate loan at 80% LVR secured by the new purchase, this structure will avoid crosscolaterisation and the need for LMI. Cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Originally posted by need_a_home:The banks will a Combined a loan (for both properties) so I can borrow value of Sydney property, place equity into residential property (Melb.) and be able to Negatively gear value of Sydney property.
Hi Marcus,
Be careful here; as the above sounds like the bank will take the 2 properties over the One loan (crosscolaterisation)Perhaps consider the following, assuming you intend to purchase further investments,
Loan 1
Step 1. Release max equity at 80% LVR secured against current property via a split loan.
Split A. P&I (20% deposit & closing costs for new PPR)
Split B. Interest only (investment loan)Loan 2
Step 2. New separate loan @ 80% LVR secured against new PPR, with a 100% offset linked to this loan.
The required 20% deposit and closing costs will come from split A in loan 1Step 3. place funds from split B loan 1 into the offset account linked to loan 2.
I hope this helps, Cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi quyhutmau & welcome to the forum,
The 107.5% construction loan allows you to borrow 100% of the combined land and construction cost,
The remaining 7.5% can be used to capitalise LMI and or closing costs such as stamp duty etc into the loan.
However, the LVR must revert back to 100% after construction is completed.107.5% LVR no genuine savings required.
Owner occupied only.
Rate approx. 8.34% reverts to approx. 7.79% in year 3
LMI approx. 2.25%
No on going fees.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Terry & Richard,
There is only Three mortgage insurers PMI GE and TMIC.
Mobius insure through TMIC.Spoodle, have you tried ANZ,
Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
HI Greg,
80% based on completed market value,NAB has approx. 6 progressive payment stages,
Preparation – Base – Frame – Lock up – Fixing – Completion.BTW, O.B is not for the faint hearted, Cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Greg,
NAB will do owner builder finance at 80% LVR based on end value @ approx. 6.82%
If income is over 80K then no app fee and a rate of approx. 6.72%Also, there is low doc owner builder finance @ 80% LVR @ approx. 7.99% providing you take up the home building system at a cost of approx. $4.500 this can be incorporated into the loan. Cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Kel,
4 units on 1 Title….
Your MB should be able to get 80% LVR with ANZ, St George etc, cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
I will Second that recommendation, Richard has helped a number of my clients with US finance. Cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Jenny,
Yes I remember our discussions regarding the problems you were having with that last chap.Keep us posted when the time arrives, cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Jenny,
Most lenders offer construction finance, repayments are usually interest only during the construction stage and as Richard mentioned the funds are released in progressive payments usually 4 or 5 stages, the final stage being lock up.Vacant land can be used as security/deposit over the construction loan (LVR permitting) based on the end value of the completed project.
Most lenders will incorporate construction finance into most of their product suites i.e. professional packages etc. Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Regrow.
In your case there will be no issue with genuine savings as you already have a mortgage(forced savings) Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi pfp & welcome to the forum,
You may want to get a second opinion regarding your current serviceability/max borrowing capacity,
If you would like me to crunch the numbers feel free to email me with the relevant info, cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Beast,
I forgot to mention the following..
consider the benefits of interest only repayments on all deductible debt and principle and interest repayments on non-deductible debt, as this can help increase your cash flow & serviceability over future lending, cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Beast,
Yes you can borrow extra for expenses and the IP,
If you are extracting equity from your ppr for the purpose of investment then I would suggest you structure this as a split loan,The 1st split will contain the PPR loan and any other non deductible debt e.g. car loan etc, and the 2nd split will contain the investment portion, 20% deposit & stamp duty etc, you should also look at attaching an 100% offset to the non deductible portion of the split, Cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
