I remember back in the good old days Bankwest would knock a valuer on the head to amend it upwards if it cost them a deal. How times have changed
5.49% per annum
- Thread starter THEGREAT888
- Start date
I remember back in the good old days Bankwest would knock a valuer on the head to amend it upwards if it cost them a deal. How times have changed
True - LMI is ~ $14k (which I think is quite reasonable given some of the prior estimates I've had).
Well, 90% + LMI - but the LMI is calculated on the actual LVR (excluding LMI) (financier uses Genworth; the calculation is correct per their calculator here: http://www.genworth.com.au/homebuyer-centre/homebuyer-tools/lmi-premium-estimator/ ).
It's a large loan, I suppose (I said ~ $600k; that is the loan, not the property (+/- 15%)).
It's a large loan, I suppose (I said ~ $600k; that is the loan, not the property (+/- 15%)).
There you go
$14k on a standard ( no cash out) $600k loan is very reasonable for >90.1% LVR...some place could go lower maybe 13k or so...but 14k is ok.
However here's 2 tip for a lower LMI.
1. Go for an 88.98% LVR, rather then a straight 90% ( which is what your on)...if you can bring extra $1,000 to the table...the cost of the LMI will be $10,000- $18,000 max!!! saving you a few thousand
2. If you have worked for more then 2 years at your current place, consider ING ...their LMI will be around $9,000.
Cheers
Michael
There you go
1. Go for an 88.98% LVR, rather then a straight 90% ( which is what your on)...if you can bring extra $1,000 to the table...the cost of the LMI will be $10,000- $18,000 max!!! saving you a few thousand
2. If you have worked for more then 2 years at your current place, consider ING ...their LMI will be around $9,000.
Cheers
Michael
Thanks - my LVR is actually around 89.5% - so below the magical 90%. To be honest, I wasn't aware there was so much variability in LMI pricing.
oh 89.5% and it's 14k..that is expensive...
Well, I wasn't trying to be too specific with the loan amounts as you never know who reads these forums, but the loan is closer to $700k than $600k.
It's also a lot cheaper than one particular lender I visited (cough, Westpac, cough).
