home lenders that use house valuation

[ptony1948]

Hello all.
With all of the upheaval and rule changing of recent times does anyone know of lenders that will lend against the property valuation and not the purchase price. ie I'm with CBA and they will lend against the lower of purchase and valuation price. If I can do a good deal and get a property below valuation, having that equity in the lending formula would be a huge benefit for me as am struggling with equity. Alternatively are there any creative ways to use such equity in the purchase or just after.
Thanks,
Tony

 

[tobe]

Unless there is a long settlement, over 6 months, its dificult to find any lender who will use a higher val than purchase price.
Alternatively after settlement simply refinance to a new lender with a new valuation and access the equity. At high LVR's you will have to pay LMI twice with this scenario, and there arent as many lenders that do high LVR refinances anymore, and their cash out policies are a bit tighter....
going back to the same lender to save LMI is problematic within the first 6 months after purchase, especially if there are no improvements to the property in the meantime.

 

[Bradsdad]

None unless long term settlement (as mentioned) or a very good reason for favourable contract.

 

[Rolf Latham]

and good luck with the cash out bit at the moment too ToBe...............getting some really dumb requests

ta
rolf