Major Lender 1.1% discount effective rate 5.78% negotiated

[Peter_Tersteeg]

There's usually a very good reason a broker will recommend AMP. We tend to use them when other lenders won't be able to do the deal, as Rolf said, sometimes servicing gets very tight.

It's not always about the best interest rate, sometimes it's simply about getting the funds or not getting a loan at all.

If your circumstances have changed, including rates reducing, it may be a good opportunity to review the reasons for going with AMP and possibly move to an alternate lender.

 

[jonmardell]

Got two loans with AMP $630k total, 80%, 6.22% variable rate.
Also got one with Wespac, $275k, 90%, 6.19% variable rate.

Both AMP loans got through the brocker. Have tried to approach AMP directly to get better rate, but does not look that they are interested.

would appreciate any advice what to do in my case to get better rates, leave AMP and approach Westpac or move two loans to differnt lender and leave one with Westpac ?

If you are happy to move to westpac you could probably negotiate a 1% or slightly bigger discount. Not as good as 5.78% though

 

[Aaron_C]

Given those loan sizes and LVR with AMP you can get a decent discount with CBA but I am not sure if you will qualify for it. AMP is one of the better servicing lenders for rent-dependent investors.

 

[turk]

If you are happy to move to westpac you could probably negotiate a 1% or slightly bigger discount. Not as good as 5.78% though

Sidor should be able to negotiate 5.78% with ANZ for that amount.

 

[Aaron_C]

Sidor should be able to negotiate 5.78% with ANZ for that amount.

I doubt it. Not for $600,000.

 

[jonmardell]

Sidor should be able to negotiate 5.78% with ANZ for that amount.

ANZ offered a .93% discount recently on a 1 mil plus deal so i dont think possible for that loan size.

 

[turk]

ANZ offered a .93% discount recently on a 1 mil plus deal so i dont think possible for that loan size.

I'm paying 5.78% with ANZ with loans around that size.

 

[Roosterman]

Me too. 5.8% with ANZ on about 650k at 75% LVR...

 

[Rolf Latham]

I'm paying 5.78% with ANZ with loans around that size.

These rates are around, and even less if you are willing to compromise on a variety of things

Its amazing what can be gleaned out of lenders in different arenas at the moment.

Pricing is a small issue in most of our transactions, availability and flex of funds are first and foremost.


ta
rolf

 

[Sidor]

refinancing

Sidor should be able to negotiate 5.78% with ANZ for that amount.

Thanks heaps for all the advices.
I will talk to ANZ and see what they can offer.

When I approached Westpac I was hoping that they wiull be interested in moving my other two loans from AMP to Westpac, but were not prepared to offer any better deals rather than 0.90% discount (I am getting 0.80% at the moment). Westpac also wanted me to buy all the other possible insurances from them that I am not really need or interested in.

With AMP I have 348k PROP 80% loan
and $287k 80% investment loan.
For the investment loan I do not need offset account, so I thought about going with Ubank for that, but for my PROP I need offset account which Ubank does not offer.

Ubank advertises 5.62% at the moment.
Do you think guys it worth talking to Ubank as well for investment property loan refinancing, or it would be better to combine loan with the same lender to borrow more and have more negotiating power ?

 

[jonmardell]

Me too. 5.8% with ANZ on about 650k at 75% LVR...

ANZ was offering late last year and early this year 1% off for loans above 250k to 500k but in my experience recently they are not going that high.

 

[Rolf Latham]

Ubank advertises 5.62% at the moment.
Do you think guys it worth talking to Ubank as well for investment property loan refinancing, or it would be better to combine loan with the same lender to borrow more and have more negotiating power ?

Hi Sidor

if your primary and onlu concern is rate, ubank and loans.con.au will suit u well.

dont expect specific advice or help though, u dont get what u dont pay for

ta
rolf

 

[Mick C]

ANZ was offering late last year and early this year 1% off for loans above 250k to 500k but in my experience recently they are not going that high.

yea...last year they were pretty much handling out massive discounts for every single deal!...now we have to beg for it

 

[arg821]

It is not going to work unless Westpac (or any lender or that matter) receives a refinance request from another lender and then their retention team kicks into gear. What rate are you on with Westpac and whats your LVR?

I'm with Westpac, borrowings over 1M, rate of 5.99% atm. Not sure how good/bad that is compared to the others.

 

[Rolf Latham]

I'm with Westpac, borrowings over 1M, rate of 5.99% atm. Not sure how good/bad that is compared to the others.

Thats okish, a little depends on the number of loans, type and splits etc.

WBC generally will provide a larger discount for large loans over a portolio ( ie crossed) because their admin cost is lower that way........well thats their logic.

ring the retention team and suggest that Suncorp will do 5.78 and see what they say.........

should get you something assuming your LVR is 80 % or less

ta
rolf

 

[Shahin_Afarin]

I'm with Westpac, borrowings over 1M, rate of 5.99% atm. Not sure how good/bad that is compared to the others.

Honestly you can get cheaper going somewhere else but its not worth it for at least half a dozen reasons. However, we use Westpac quite a bit and you should have no problem getting 5.89% for over a 1M lending. Have you tried calling TMC and asking?

 

[arg821]

Thats okish, a little depends on the number of loans, type and splits etc.

WBC generally will provide a larger discount for large loans over a portolio ( ie crossed) because their admin cost is lower that way........well thats their logic.

ring the retention team and suggest that Suncorp will do 5.78 and see what they say.........

should get you something assuming your LVR is 80 % or less

ta
rolf

Rolf, I called the mortgage centre to let them know that I was looking into taking all my loans across to Suncorp due to the $3.5K savings per year I could get from them due to the difference in interest rate.

The guy on the phone did some checking and after a bit of on hold time, said they will look at increasing my discounted rate from .9% to 1.08% (final % of 5.8%). It is yet to be "officially" approved so I'll have to wait until Monday/Tuesday and let you know how it went.

(My overall LVR is around 50% btw)

If it goes through, its worth me sticking with them up until I require additional loans as we don't agree with the servicing policies

 

[arg821]

Rolf, I called the mortgage centre to let them know that I was looking into taking all my loans across to Suncorp due to the $3.5K savings per year I could get from them due to the difference in interest rate.

The guy on the phone did some checking and after a bit of on hold time, said they will look at increasing my discounted rate from .9% to 1.08% (final % of 5.8%). It is yet to be "officially" approved so I'll have to wait until Monday/Tuesday and let you know how it went.

(My overall LVR is around 50% btw)

If it goes through, its worth me sticking with them up until I require additional loans as we don't agree with the servicing policies

Just a quick update, the discount was approved after they checked out what Suncorp was offering, so without even giving them a hard time they approved the discount to 1.08% off std variable rate (I am on the prof package too). This is an overall % rate of 5.80% for > $1M but < $2M, LVR about 50%.