yes, it does apply to you, as its your PPOR, its a purchase, and you are going to pay P&I. Its a little more deposit than that though, as you also need to contribute stamp duty and other costs. variable rate 4.95%, howeve you can have a fixed rate portion as well, where the rates are a little lower for the shorter terms.
90% with (almost) no LMI for everyone!!!
- Thread starter Peter_Tersteeg
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Rates are pretty good, especially in the fixed rate market - as Mick said above.
In terms of suitability, it is a great option worth exploring. You'll need to check out whether you can service the loan with the ING calculator - they are quite conservative. Your income will need to be reasonably high to get that amount of borrowing from ING.
In terms of why its suitable: Cheap rate, generally a good lender for PPORs, at that price point ($1m) your LMI saving is quite large (~$25k).
Cons are: cant go I/O and potential cash out issues down the track.
Without knowing full details, broadly speaking with the paramaters you've laid out - if you can borrow with this product, go for it over alternatives.
Cheers,
Redom
Variable rates are even better now, 4.89% for 80 - 90% LVR and 4.83 sub 80%.
Yes - but there's no set date provided.
No they dont, but you can do a loan split and have an offset attached to variable split. For full 100% fixed offset, try Adelaide bank or TMB.
Cheers,
Redom
No for the LMI waiver. The specifications of the offer are in my original post.
Sorry mate, broker speak getting the better of me (if your talking about my last post).
The product requires Principle + Interest repayments. Meaning you have to pay some of the principle down, which isn't ideal from a tax perspective if you turn it into an investment property down the track.
You don't have the option to go Interest Only.
Cheers,
Redom
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It has to be an owner occupied property - that as far as they've elaborated on that.
Cheers
Jamie
Thanks
Yeh im not looking to occupy the property so doesnt work for mw. Thats the only problem though
yes, but mostly its occupation driven
Docs, dentists, allied medical, CPAs some engineers etc
A little income tested as well depending on lender and qualification.
broker Corey in Adelaide who posts here Im sure can help
ta
rolf
will be somewhere between 4.63 to 5.99 depending on volume, security, loan splits, quality of borrower.
Im guessing the q you are asking, is there a large diff between the 80 and 90 no LMI. usually not
ta
rolf
Yes for
- Engineers
- Natural resource service providers
- Medical ( including nurse and support staff now)
- Valuers
- Tax accountant
- Accountants
- Financial planners
- Lawyers/ Legal support staff
- Real estate
^Min income level etc applies.
correct me if im wrong. ?? so your trying to take out $900k equity from your IP to pay down a PPOR???? hope you spoke to your accountant...
Why need ??
Typically the diff between an 80 and a 90 % lend is 10 to 25 pts, and thats with a normal LMI loan. there are exceptions of course
understand that a NO LMI loan means the lender has to carry a higher capital reserve , so the cost of the funding is higher.
Often you are better off paying an LMI premium to 88 % and getting a great rate.
For many, the LMI premium is once, but the rate loading is "for ever" or at least the term or the loan.
Choose LVR, no LMI, or rate, its not pratical to expect the best of all 3, and seeking same may result in dissapointment, and wasted time and CRAA enquiries
ta
rolf
