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  1. Peter_Tersteeg

    Consequences of LMI in capping borrowing ability

    I did think about including that point... Most people simply don't get to the point that this specific example has. Their income doesn't support that level of borrowing, neither do their rents. Often people don't have the risk tolerance or the drive to get there either. Most people run out...
  2. Peter_Tersteeg

    Consequences of LMI in capping borrowing ability

    LMI doesn't influence the valuation result, the valuer does. At different LVRs the lenders will use different types of valuations which can influence the outcome, but it can be better or worse. There is one universal truth. When you've got low LVRs, you've got a larger equity buffer so...
  3. Peter_Tersteeg

    Consequences of LMI in capping borrowing ability

    I read Nathans newsletter. Whilst it's essentially correct, it barely scratches the surface. Many lenders have a "Deferred Underwriting Authority" or DUA. This means that if your application falls under the parameters of that lenders DUA then the lender has the authority to approve the loan...
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