100% loans
- Thread starter newtoinv
- Start date
I would like to know the answer to this also.
Do any loan 100% without equity in another property?
I have a property with 80k equity although that was valued 6 months ago so never know what has happend since.
Kind regards,
Matt
Do any loan 100% without equity in another property?
I have a property with 80k equity although that was valued 6 months ago so never know what has happend since.
Kind regards,
Matt
Hi newto
Yes, there are still 100% lenders in the market
For owner occupiers, you can go to 100% with or without mortgage insurance with St George, plus link up an offset account
For investors, most of the 100% lenders want to see 20% equity in another property
However, the 100% lends are mainly reliant on strong incomes, so if you have plenty of serviceability (not just $1 monthly surplus) and no savings or no / limited equity, it is still possible to achieve good purchases with limited capital.
Do keep in mind, that if you have one loan with an offset account there is not much point in having another offet account. After all, offsets work with the percentage and percentage is the same whether in part or in whole.
Once you have one offset there is no real need to go hunting for another if that would mean compromising the actual deal or not being eligible with that other lender
Cheers
Kristine
Assuming it's for a PPOR the better options on the market are currently RAMS, St George, Suncorp (in no particular order).
None of them are ideal, if you can find an extra 3-4% you'll find that the figures add up for a fully featured 95% loan - LMI for a 100% loan is at least 1% more expensive than a 95% loan - a high cost for an extra 3-4%.
None of them are ideal, if you can find an extra 3-4% you'll find that the figures add up for a fully featured 95% loan - LMI for a 100% loan is at least 1% more expensive than a 95% loan - a high cost for an extra 3-4%.
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Interesting... I have not heard anything... will check with my contact.
The 100% loans appear to be dropping out of sight very quickly. It wouldn't supprise me if RAMS pulls their policy given that Westpac did it a short while ago.
I've asked St George their opinion on them and was told that their 100% product range is here to stay, but you never can tell. At least they're not insured through the same channels.
I've asked St George their opinion on them and was told that their 100% product range is here to stay, but you never can tell. At least they're not insured through the same channels.
Richard, I am told that the 100% loan is still on offer.
