Calling all brokers!!! - FHO Loan Min Deposit

[ScottyB]

Good Morning folks,

Looking for a broker to contact me to discuss options for a mortgage.

600k Property North of Perth.

2 scenarios:

1 - Keep the deposit to the absolute minimum (5%) and would like to put the LMI onto the loan as well pushing above the 95% LTV where possible.

2 - 10% deposit and competative rate Interest Only with the option to overpay

New build taking advantage of the FHOG.

High Net earnings and solid credit history (Rent for last 3 years is significantly more than proposed mortgage)

Please drop me a PM with your contact details if you would like to discuss.

Regards

ScottyB

 

[D.T.]

If youve got the cash 10% is going to increase the likelyhood of success alot. Its also going to allow you to pull more equity out when it comes time to invest, assuming this is your path.

Not sure what you mean by interest only with ability to over pay, can you clarify? Also, Is the home possibly changing to an IP in the future?

Also what other debts do you have?

 

[tobe]

rethink building.

Rethink spending that much on your first home.

If you still want to proceed,

option one is basically Bankwest. note you can do 5 years interest only with this option as well.

You wont find much of an interest rate discount until you have a 20% deposit, so dont assume putting in a further 5% will buy you much. It will only give you a larger spread of lenders to choose from and about a 30 to 40% discount on the LMI.....

 

[Jeff Nash]

Hi Scotty,

Hope you are well.

RAMS Home Loans will look to do 95%LVR + LMI.



Kind regards,

Jeff

Good Morning folks,

Looking for a broker to contact me to discuss options for a mortgage.

600k Property North of Perth.

2 scenarios:

1 - Keep the deposit to the absolute minimum (5%) and would like to put the LMI onto the loan as well pushing above the 95% LTV where possible.

2 - 10% deposit and competative rate Interest Only with the option to overpay

New build taking advantage of the FHOG.

High Net earnings and solid credit history (Rent for last 3 years is significantly more than proposed mortgage)

Please drop me a PM with your contact details if you would like to discuss.

Regards

ScottyB

 

[tobe]

Except its construction, so its only 97% minus LMI with Rams, or about 91% at this sort of loan amount......

 

[Jamie M]

Personally I wouldn't be constructing at such a high LVR - there's no wiggle room.

For a 90% IO lend - as long as it's set up as variable (or a portion of it's variable) than you can park cash in the offset (similar to paying down the loan but without a lot of implications that I won't get into right now).

p.s - 95% lends with BWA are being scored harsher these days.

Cheers

Jamie

 

[ScottyB]

Hi folks,

Thanks for the responses, a bit of clarity required as some of you have assumed this is a build.

It is a new property owned by builder so we will be first owner, I have negotiated a significant discount from their crazy asking price down to what it actually values up at. (All leaseback nonsense etc stripped out and Independant valuation carried out)

Looking for Interest only and the comment about overpayment was to ensure overpayment was not restricted to a certain amount per year.

The other option is to have an offset facility giving similar results but easier access to the funds.

Just to put the numbers into context my pre-approved Mortgage amounts were calculated at 2.3 million by Commbank Private, as their rates are poor we are shopping around, my current rent is 6k per month so no concerns on being able to service the debt from a 600k mortgage.

My role will have me moving overseas in a few years so yes the plan will be to convert to IP when that happens.

I hope that helps clarify issues.

 

[D.T.]

1. Interest Only with overpaying - dont ever do this.

2. Is it a display home? Sounds like it might be from your brief description. These have their own risks.

3. What are you actually trying to achieve? Just buy this house and thats it? Get a flock of properties? Getting a lender that fits this is far more important than the rates they're charging.

 

[ScottyB]

Thanks DT.

Yes it is a display as per my other post I have had an independent valuation carried out and I am comfortable with the findings versus the discount negotiated with the builder.

I get large annual bonuses hence the option to overpay IO without penalty suits me.

The driver for this house is simple, stop the dead 6k being paid every month in rent and get a foot on the Australian ladder with a view to a bolt hole in later life.

Overseas move with work is almost a guarantee so any overpayments are designed to have the property +ve geared when converted to an IP.

I have a large existing portfolio outwith Australia, and I continue to add to this on a regular basis, I have no interest in having a multi property Australian portfolio so this is likely to be the only dwelling.

 

[D.T.]

overpay IO without penalty

For the 10th time, dont do this.

 

[westminster]

Thanks DT.

Yes it is a display as per my other post I have had an independent valuation carried out and I am comfortable with the findings versus the discount negotiated with the builder.

I get large annual bonuses hence the option to overpay IO without penalty suits me.

The driver for this house is simple, stop the dead 6k being paid every month in rent and get a foot on the Australian ladder with a view to a bolt hole in later life.

Overseas move with work is almost a guarantee so any overpayments are designed to have the property +ve geared when converted to an IP.

I have a large existing portfolio outwith Australia, and I continue to add to this on a regular basis, I have no interest in having a multi property Australian portfolio so this is likely to be the only dwelling.

Why not go IO and put the extra money in Offset?

Some banks don't like display homes but if this is at it's end of display home lease and you are moving into it then it will be ok

 

[Colin Rice]

Display homes normally require a 30% deposit, if relevant?

 

[Shahin_Afarin]

Display homes normally require a 30% deposit, if relevant?

St George will do 80% - assuming you can get past a decent valuation. Valuers love display homes?? not.

 

[Rolf Latham]

St George will do 80% - assuming you can get past a decent valuation. Valuers love display homes?? not.

Valuers in this instance arent villains, just the chattels and implied yield do tend to affect vals quitea bit.

Ta
rolf