Experiences of increasing loan size as property value increases?

[James Bond]

Hi, if I bought a property and borrowed 80% of purchase price, and now the property has increased in value, and I wanted to increase the loan to 80% of today's valuation, with the same bank, how much of a process is this normally and what kind of fees are involved?

Many thanks for any experiences

JB

 

[Terry_w]

Hi, if I bought a property and borrowed 80% of purchase price, and now the property has increased in value, and I wanted to increase the loan to 80% of today's valuation, with the same bank, how much of a process is this normally and what kind of fees are involved?

Many thanks for any experiences

JB

easy, and possibly no fees. Mortgage stamp duty may be payable in NSW.

 

[imbi3]

Hi, if I bought a property and borrowed 80% of purchase price, and now the property has increased in value, and I wanted to increase the loan to 80% of today's valuation, with the same bank, how much of a process is this normally and what kind of fees are involved?

Many thanks for any experiences

JB

You will have to prove your current income level. Bank fees would be minimal, if any. Formal valuation will be required as well

 

[Peter_Tersteeg]

Hi, if I bought a property and borrowed 80% of purchase price, and now the property has increased in value, and I wanted to increase the loan to 80% of today's valuation, with the same bank, how much of a process is this normally and what kind of fees are involved?

Many thanks for any experiences

JB

Experience depends on the lender, but generally it requires a new application. Fees also depend on the lender, product and overall scenario. It's rare that we'd see any government costs.

I see a lot of this sort of thing, at least weekly, often quite a bit more.

 

[Redom]

Hi, if I bought a property and borrowed 80% of purchase price, and now the property has increased in value, and I wanted to increase the loan to 80% of today's valuation, with the same bank, how much of a process is this normally and what kind of fees are involved?

Many thanks for any experiences

JB

Very common - at 80% LVR generally not too difficult with most lenders. Regarding the process, full application generally - although for some lenders its easier than others, especially for lower loan amounts.

May need to do another valuation and if your really looking to stretch the amount of funds you want to withdraw out, order a few valuations with different lenders and switch over.

Cheers,
Redom

 

[Jamie M]

I see a lot of this sort of thing, at least weekly, often quite a bit more.

Seems to be a daily task - especially for veterans like yourself who've been in the game for over a decade.

Cheers

Jamie