Browse Forums Building A New House Re: Bought land now, house later...finance question. 3Jan 28, 2013 6:04 pm We built the Wisdom Majestic 40 - moved in! Our blog - http://ourwisdommajestic40.blogspot.com.au/ Our H1 thread - viewtopic.php?t=54156 Re: Bought land now, house later...finance question. 9Jan 28, 2013 9:47 pm We built the Wisdom Majestic 40 - moved in! Our blog - http://ourwisdommajestic40.blogspot.com.au/ Our H1 thread - viewtopic.php?t=54156 Re: Bought land now, house later...finance question. 11Jan 29, 2013 8:36 am A bit of both really - the broker encouraged it, the bank preferred it and we do not want to be paying huge amounts of LMI. It's of no benefit to us and just to give you an example: having 10% deposit means we may pay $2-$3k in LMI, but having 9%-0% means we'd be paying upwards of $8-$13k. The bank then claims interest on that if you are actually able to roll it in your mortgage. If you cannot possibly save the 10% for the construction loan then talk to your broker and get a quote on what it would cost you in LMI if you did split your deposit to 10% each. I reckon it would be less than having no deposit on your construction loan and paying the full LMI on that. ETA: either way you're going to be paying extra in repayments thanks to the LMI so just remember to factor that in. you were just referred to get advice from your solicitor. This is a legal matter. Separately, why would you use a buyers agent for a house and land package? 3 55232 9 24757 This is one of the reasons I decided to go overseas for my double glazed windows. As the builder indicated, he's worked on many upmarket builds, these were the most well… 13 19081 |