RHGL now 10.39%
- Thread starter Ajax
- Start date
I don't have that problem Jo - our balance (PPOR loan) is into the 4 figure territory - and we are paying under $100 interest per month. We are just keeping the loan open for a while longer to fund our IP for deposit purposes .....we hope to purchase and have it settled before the end of the year. (If we can find something we agree on!) The plan was always to buy in the back half of this year, and it looks like if we purchase after October we won't need RHGL for deposit purposes anyway and we'll have a clear titleHow long do we hold out before we CAN afford the exit fees???
Regards Jo
(Hubby and I are overly conservative when it comes to money)I've researched their exit fees and once you hit the 3 year barrier (it could be 2 I can't remember), our fees are $395 plus the last 2 months interest debited against our account - they will be lucky if they see $500 out of us
There may have been another fee as well, I can't recall.....but they are not getting a cent more out of me than they need to.Cheers
Buddybee
Just checked on a refinance from RHG to RAMs.
I am on an 85% smartway lo-doc with RHG. ERF's are 2% for the first 2 years and 1.5% in year 3.
RAMS will contribute $1500 for a refinance over $100k (it maybe $150k), and higher amounts for higher refinances BUT you will have to agree to ERF's of 1.5% for the next 4 years even on an 80% lvr lo doc (out of one frying pan into another).
Their loans are now mortgage insured by GE (used to be MGIC). RAMS told me that ABN more than 2 years and GST of over 6 months will by ok with mortgage insurer (this came from their scenarios section). When it got to the mortgage insurer they requested a letter from an accountant explaining why GST registration has only been for last 6 months.
Thinking the refinance through RAMS will end up saddling me with erf's for another 4 years whereas I only have 2 years of ERF's left with RHG (am one year into 3 year ERF period with RHG). To refinance to RAMS may mean a lower interest rate but it will also mean a loss in flexibility in refinancing or selling for an extra 2 years
Ajax
I am on an 85% smartway lo-doc with RHG. ERF's are 2% for the first 2 years and 1.5% in year 3.
RAMS will contribute $1500 for a refinance over $100k (it maybe $150k), and higher amounts for higher refinances BUT you will have to agree to ERF's of 1.5% for the next 4 years even on an 80% lvr lo doc (out of one frying pan into another).
Their loans are now mortgage insured by GE (used to be MGIC). RAMS told me that ABN more than 2 years and GST of over 6 months will by ok with mortgage insurer (this came from their scenarios section). When it got to the mortgage insurer they requested a letter from an accountant explaining why GST registration has only been for last 6 months.
Thinking the refinance through RAMS will end up saddling me with erf's for another 4 years whereas I only have 2 years of ERF's left with RHG (am one year into 3 year ERF period with RHG). To refinance to RAMS may mean a lower interest rate but it will also mean a loss in flexibility in refinancing or selling for an extra 2 years
Ajax
Hiya Ajax
One thing that needs to be pointed out is that RAMS per se isnt providing that rebate................its the franchisee, they hope to hold onto you for a while.
ta
rolf
One thing that needs to be pointed out is that RAMS per se isnt providing that rebate................its the franchisee, they hope to hold onto you for a while.
ta
rolf
Refinanced away.. Cost an arm and a leg..
Keeping the other arm and a leg for the next refinance
Probably be my last I guess.Similar threads
