All Topics / Finance / LMI

Viewing 9 posts - 1 through 9 (of 9 total)
  • Profile photo of HavinfunHavinfun
    Participant
    @havinfun
    Join Date: 2012
    Post Count: 18
    April 27, 2013 - 9:08 am

    Hi all I currently own 2 IP,s and am looking at buying another 2 and was wondering if there are investors ou there whonarwnusing lmi as tool to leverage into more properties.Is this' becoming a more convenient way of leveraging?

    Profile photo of Tony FlemingTony Fleming
    Participant
    @the-dark-knight
    Join Date: 2008
    Post Count: 396
    April 27, 2013 - 9:40 am

    I am. One of the greatest tools to build a large portfolio :)

    Tony Fleming | Triumphant Property Group
    http://www.triumphantpropertygroup.com.au
    Email Me

    NSW Buyer's Agent specialising in Western Sydney-Blue Mountains-Orange-Albury

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,024
    April 27, 2013 - 9:49 am

    With limited equity i cannot see any reason why you would not use LMI.

    Just make sure you structure the loans correctly so they are not cross collateralized otherwise the premiums will be more expensive.

    Also ensure your Bank or Broker spreads your LMI risk by using both LMI providers.

    Be surprised how much difference there is between both insurers and between lenders using the same insurer.

    Cheers

    Yours in Finance

    Richard Taylor | Australia's leading private lender

    Profile photo of HavinfunHavinfun
    Participant
    @havinfun
    Join Date: 2012
    Post Count: 18
    April 27, 2013 - 10:00 am

    Thanks Richard is there a scenario you can paint for me 2  new properties at 350 k I am able to put 60k of my own money towards the purchase of the Ip,s, my current  income is over the 200k mark pa, lvr on other Ip,s 78% value of props 890k.total rents 800pw no other debts 3 dependants, have a cba pack.

    Profile photo of Jamie MooreJamie Moore
    Participant
    @jamie-m
    Join Date: 2010
    Post Count: 5,069
    April 27, 2013 - 11:10 pm

    LMI is a great tool to utilise for certain investors.

    It all comes down to available equity, appetite for risk and overall plan and strategy.

    Cheers

    Jamie

    Jamie Moore | Pass Go Home Loans Pty Ltd
    http://www.passgo.com.au
    Email Me | Phone Me

    Mortgage Broker assisting clients Australia wide Email: [email protected]

    Profile photo of HavinfunHavinfun
    Participant
    @havinfun
    Join Date: 2012
    Post Count: 18
    May 4, 2013 - 10:02 am

    Why are there only 2 lmi providers?

    Profile photo of CattleyaCattleya
    Participant
    @cattleya
    Join Date: 2008
    Post Count: 121
    May 4, 2013 - 2:42 pm

    Sorry,  What's LMI?  Lenders Mortgage Insurance?

    Thanks,
    Catts

    Cattleya

    Here to learn the ropes of property investing & share knowledge, not trying to sell anything at all.

    Profile photo of jmsracheljmsrachel
    Participant
    @jmsrachel
    Join Date: 2012
    Post Count: 711
    May 4, 2013 - 11:21 pm
    Cattleya wrote:
    Sorry,  What's LMI?  Lenders Mortgage Insurance?

    Thanks,
    Catts

    Correct. Normally paid if your lvr is over 80.%

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,024
    May 5, 2013 - 12:26 pm

    Havinfun because there is no one else out there with the appetite for the risk.

    Cheers

    Yours in Finance

    Richard Taylor | Australia's leading private lender

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