Low Doc loans
Reply: 1.1
From: Rolf Latham
Hi Sim
Fair comment in regard of the higher rates and the higher start up AND exit costs.
Rates tend to be higher and LVrs a litle lower because the lender perceives theynare taking on a little more risk.
Recently though, many "mainstream" lenders are entering the Arena, such as Adelaide Bank, Suncorp, ING and HSBC to name a few, where the products are becoming more and more flexible, indeed Suncorps new process provides for STANDARD rates and products with LVRs up to 80 %. Serviceability problems should be a thing of the past with these types of products.
ta
Rolf