Forums / Getting Technical / Finance / Low Doc Loans to 80% without LMI

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  • Profile photo of PosEnterprisesPosEnterprises
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    @posenterprises
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    Have there been any changes for low doc 80% loans without LMI from any of the banks or is dead and buried. 

    What are options for refinancing still the same?

    Profile photo of Investment-MortgagesInvestment-Mortgages
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    @investment-mortgages
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    They all seem to want BAS statements so far.(which in turn pretty much makes it a full doc…..)

    We need the cycle to gain a bit more momentum so the banks will ease up some.

    There are one or two No-Doc loans(with fairly high lvr's) still available i think.

    Profile photo of nataliebransonnataliebranson
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    True low doc loans are virtually almost gone (no financials).

    I know ANZ will do it at 60% no financials, will even do PAYG lo doc!

    But most are now requiring BAS statements for last 6-12 months.

    Profile photo of Richard TaylorRichard Taylor
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    @qlds007
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    Whilst in the main this true it not across the board.

    There are still lenders out there that do not require BAS as long as the ABN is > 2 years and if required is registered for GST.

    75% Nodoc is also available just a matter of horses for courses.

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
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    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

    Profile photo of cubman09cubman09
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    Hi Guys,

    I know a lender that will look at 80% Low Doc without LMI Clear credit. They only require a Repayment Declaration and Accountants Letter. If you try to obtain the Accountants Letter and are unable they will ask for six (6) months trading statements.

    No Doc is dead. Anyone lending that way would be mad.

    Kind Regards

    AM

    Profile photo of Richard TaylorRichard Taylor
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    @qlds007
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    AM

    Just to correct a couple of points

    Nodoc is not dead and 2 lenders are currently offering it.

    As far as i am aware there is only 2 lenders that dont require LMI on Lodoc 80 although they charge a risk fee instead which is much the same.

    LMI ovr 60% is a Government Requirement for Capital Adequacy.

    There are a few lenders who will do lodoc 80 without BAS or Business Trading Statements.

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me | Phone Me

    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

    Profile photo of cubman09cubman09
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    Hi Richard,

    I beg to differ it is not a requirement and is offered at 80% without LMI. It is at the lenders discretion and there own risk. The lender does not require BAS or trading statements if an Accountants Certification is obtained.

    Kind Regards,

    AM

    Profile photo of Richard TaylorRichard Taylor
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    @qlds007
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    Am

    Hate to say i dont believe you.

    The only lenders offer non LMI products are charging risk fees.

    There are a couple of lenders not charging the client the LMI but the loan itself is still mortgage insured.

    There is a big big difference.

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me | Phone Me

    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

    Profile photo of cubman09cubman09
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    Richard,

    Hate to say it then you are not giving your customers the service they ask for.

    There is no risk fee. 1% App fee. Thats it.

    Have a good one.

    AM

    Profile photo of Richard TaylorRichard Taylor
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    @qlds007
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    1% Application fee is the same thing as a risk fee.

    Either way it is more expensive than than LMI.

    Why dont you tell us who the lender is.

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me | Phone Me

    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

    Profile photo of cubman09cubman09
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    @cubman09
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    Im not in the position to argue with you. LMI can be very expensive and you should know of the lenders mate.

    Maybe have a look around as i know of a few and its not a risk fee. Its an Application Fee. Various banks/lenders have a risk fee which is seperate to this as you should well know.

    The person wanted some information about 80% Low Doc and its out there with no LMI which you wrongly advised. You dont know everything mate.

    Back to the post then……

    The main thing is Pos for refinancing the banks/lenders have adopted cashout restrictions which are in place. Make sure you or your broker ask a lot of questions fromt he bank/lender as this will save you time. If there is fees etc have these outlined in full. Best of luck.

    Profile photo of Richard TaylorRichard Taylor
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    @qlds007
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    Can you tell me which BANK charges a risk fee and doesnt mortgage insure.

    I would be interested in your answer.

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me | Phone Me

    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

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