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Hi, all,
Just wanna hear some brutal and honest opinion on my situation.
I am banking with St George Bank, I have gone through most of the approval process. What I need to do now is to sign a contact and starts the valuation to get the final loan approval.
I have about 55,000 available for deposit. I am targeting a house with asking price of 520,000. I will pay the LMI and I am eligible for the FHB grant.
The house is relatively new (4 years old) and is located in the St George Area, Sydney.
I am the kind of FHB who are short of equity but have good income stream (120,000 pa.)
What worries me now is the bank valuation. In addition to the deposit I still have a saving of 20,000. The house we want to buy requires no additional reno or stuff.
I want to know, given my conditions, what is the chance that the bank will not lend me the full 90% of the house price? If so, what do you expect the gap maybe?
Thanks
ak123 wrote:Hi, all,Just wanna hear some brutal and honest opinion on my situation.
I am banking with St George Bank, I have gone through most of the approval process. What I need to do now is to sign a contact and starts the valuation to get the final loan approval.
I have about 55,000 available for deposit. I am targeting a house with asking price of 520,000. I will pay the LMI and I am eligible for the FHB grant.
The house is relatively new (4 years old) and is located in the St George Area, Sydney.
I am the kind of FHB who are short of equity but have good income stream (120,000 pa.)
What worries me now is the bank valuation. In addition to the deposit I still have a saving of 20,000. The house we want to buy requires no additional reno or stuff.
I want to know, given my conditions, what is the chance that the bank will not lend me the full 90% of the house price? If so, what do you expect the gap maybe?
Thanks
hi AK123
Firstly do not sign anything until your bank has the valuation done and has unconditionally approved the loan. In todays environment its common for lenders valuations to come back short of agreed purchase price so best to be cautious.
At 90% and on income stated you should be fine so long as your deposit funds meet St George's genuine savings requirement and so if this is the case then the valuation is your only thing to worry about.
