97% finance?
- Thread starter locko24
- Start date
you can get 95% plus full cap of LMI with bankwest which takes it up to almost 98%.
Certainly not impossible, but the options are limited. One of the insurers recently changed their investor policy to limit the LVR to 95%, so LMI can no longer be capitalised. Other lenders will allow 95%+LMI for investment as long as there's equity elsewhere in the portfolio.
A few lenders will cap the full LMI obove 95%, to a total of 99%, but these are few between and you pay for it in other ways.
My personal thinking is that if you've got the cash, a good balance between cash management and the price of LMI tends to be around 90% LVRs. This also works quite well for ongoing purchases as lenders don't put you in the ultra high risk categories.
A few lenders will cap the full LMI obove 95%, to a total of 99%, but these are few between and you pay for it in other ways.
My personal thinking is that if you've got the cash, a good balance between cash management and the price of LMI tends to be around 90% LVRs. This also works quite well for ongoing purchases as lenders don't put you in the ultra high risk categories.
You cannot capitalise the stamp duty and other charges. You need to come up with the minimum 5% deposit and then the government, legal, etc charges on top of that.
The only thing you can capitalise is the LMI which it varies between lenders from 90% to 99%.
The only thing you can capitalise is the LMI which it varies between lenders from 90% to 99%.
notmy area of expertise, however had a couple of 95 Plus cap with ANZ and BWA.
In both cases the borrowers were loooooooong on exposure with GE related lenders and high gearing but brill cashflow.
The highest LVR post GFC we have done was over 100 % ................. odd yes, but there are a couple of ways that can happen.
ta
rolf
In both cases the borrowers were loooooooong on exposure with GE related lenders and high gearing but brill cashflow.
The highest LVR post GFC we have done was over 100 % ................. odd yes, but there are a couple of ways that can happen.
ta
rolf
Aaron just did me a 98.9% LVR + capped LMI on top loan
so your valuation/purchase price was around the 510 k mark ?
ta
rolf
