Changes to finance made LOE difficult?

[Land]

Hi all,

Just wondering if those using living off equity (Rixter) have found the recent reduction in LVRs for no-docs making things diffificult?

What's the best LVR available now for no-docs? 60%

I would imagine if you were relying on this and up to say 58% one might be getting very nervous?

If you are no longer employed (retired), can you just use lo-docs by quoting your capital growth as your income, so that you can get a higher LVR than going all the way to no-doc?

Cheers for the feedback.....

 

[Finance guru]

Hi Land,
There are still ND lenders out there who will give you 70% lend.

With the LD loans, the main morgage insurer, GE has cut back cash out to 70% LVR with no restrictions, or to 80% with restrictions, so a lo doc may not be the answer to all your problems either. Unless you have a look at some of the uninsured lenders.

 

[redwing]

I recently received an update on rates of :

Low Doc up to 90% LVR
Refinance and/or Purchase
Current variable rate 9.0%
Squeaky clean credit file required for this one i.e. no defaults.
Proof of income not required.
-----------------------------------------------

Low Doc up to 80% LVR
Refinance and/or Purchase
Current variable rate 8.77%
Proof of income not required.

Full Doc up to 90% LVR
Refinance and/or Purchase
Current variable rate 8.65%
Proof of income is required.

 

[ianvestor]

Low Doc up to 80% LVR
Refinance and/or Purchase
Current variable rate 8.77%
Proof of income not required.

What kind of docs are required? (i.e. What's the difference to No Doc?).