I have applied through Westpac for a 95% LVR loan on PPOR apartment, credit approved but advised Genworth refused LMI on grounds that "building contains short-term letting pool and assume that property will be used for such"
The property is:
* Being purchased "Vacant Possession" and unfurnished, therefore not part of any letting pool
* Standard Strata Title (as is the building)
* my PPOR, so I will be living there, not participating in a short-term letting pool
I have confrimed all the above with the Strata Manager and my solicitor has written a letter to the bank to re-iterate the above points.
Why are Genworth, apart from their incorrect assumptions, even concerned with short term letting in the building? Surely this provides lower risk to them as there is guranteed rental return for those that wish to participate in a letting pool?
Do I fight them or scrape money together to go 90% LVR? As per Rolf's email that Westpac use WLMI internally, instead of Genworth on 90% LVR; then the assumption is I won't have an issue with LMI approval.
Any similar situations, and possible resolutions?
Thank you for your support.
Regards
SydneyBuyer
The property is:
* Being purchased "Vacant Possession" and unfurnished, therefore not part of any letting pool
* Standard Strata Title (as is the building)
* my PPOR, so I will be living there, not participating in a short-term letting pool
I have confrimed all the above with the Strata Manager and my solicitor has written a letter to the bank to re-iterate the above points.
Why are Genworth, apart from their incorrect assumptions, even concerned with short term letting in the building? Surely this provides lower risk to them as there is guranteed rental return for those that wish to participate in a letting pool?
Do I fight them or scrape money together to go 90% LVR? As per Rolf's email that Westpac use WLMI internally, instead of Genworth on 90% LVR; then the assumption is I won't have an issue with LMI approval.
Any similar situations, and possible resolutions?
Thank you for your support.
Regards
SydneyBuyer