Equity Release

[roypropertyinv]

Hi all

I bought a property at 90% LVR and paid LMI on the loan, and I was wondering about the general consensus regarding equity release?

Are there lenders who will allow equity release up to 90% of the property value or is 80% more standard?

Thanks

 

[Terry_w]

Hi all

I bought a property at 90% LVR and paid LMI on the loan, and I was wondering about the general consensus regarding equity release?

Are there lenders who will allow equity release up to 90% of the property value or is 80% more standard?

Thanks

virtually all do as long as the borrower meets the usual criteria

 

[roypropertyinv]

virtually all do as long as the borrower meets the usual criteria

Thanks. For some reason I had 80% in my head. I'll give the bank a call!

 

[Rolf Latham]

be aware of the cash out provisions of your lender, AND their mortgage insurer.

And if you are going to buy another place dont let the lender cross collateralise both props as security

ta
rolf

 

[Jamie M]

Whilst 90% cashouts are possible - I wouldn't necessarily consider them a walk in the park. It all comes down to the lenders policy - whilst most will allow it, they also have some quirks in terms of the evidence they require before they'll approve it.

They will also want to see that the end debt (in the scenario that you're using the funds for another purchase) services with them.

If they don't have a DUA in place then you'll also be at the mercy of the LMI provider - and that's never fun.

Cheers

Jamie