Browse Forums Home Finance Re: Cost Of Mortgage Insurance 2Jul 14, 2011 10:31 pm Building with Fairmont Homes NSW at Glenmore Ridge Lot 1007 Our Builder http://www.fairmonthomesnsw.com.au Our Blog http://drewandrenee.blogspot.com/ Re: Cost Of Mortgage Insurance 3Jul 15, 2011 12:26 pm Michael Chan | Australia wide Mortgage Broker Michael@ShapeHomeLoans.com.au | 1300 74 5626 | Fax: 02 8212 8909 http://www.ShapeHomeLoans.com.au Re: Cost Of Mortgage Insurance 7Jul 28, 2011 1:14 pm Hi Marty I have sucessfully reaplied for a stand alone loan using 5% of my own funds instead of using another property as equity. The LMI on new loan is going to be about 7k. Bit better compared to 30k saving me heaps. Re: Cost Of Mortgage Insurance 8Aug 30, 2011 10:56 pm Hi, I'm in the same boat as you. I need to get equity out of current house to go towards new house and land purchase. My broker wants to do a top up on current loan, then put it towards new loan along with my 10k deposit. Now she goes I may need to pay LMI on full amount so could be looking at 23k of LMI on a whole loan of 655k and security of 716k for both properties. Initially she said LMI was only going to be $200 for top up plus approx 10k for new loan. My current house is worth 305k with debt of 244k. Need 6.2k top up. Néw house and land package is 411k plus 9k fees and stamp minus 10k deposit. Anyone have any way to structure this so I'm not whacked with 23k plusnof LMI?? T Re: Cost Of Mortgage Insurance 9Aug 31, 2011 12:04 am investa Hi, I'm in the same boat as you. I need to get equity out of current house to go towards new house and land purchase. My broker wants to do a top up on current loan, then put it towards new loan along with my 10k deposit. Now she goes I may need to pay LMI on full amount so could be looking at 23k of LMI on a whole loan of 655k and security of 716k for both properties. Initially she said LMI was only going to be $200 for top up plus approx 10k for new loan. My current house is worth 305k with debt of 244k. Need 6.2k top up. Néw house and land package is 411k plus 9k fees and stamp minus 10k deposit. Anyone have any way to structure this so I'm not whacked with 23k plusnof LMI?? T Loan 1... $274,500 - Borrow up to 90% on the first property ($305,000) which should give you $30,500 cash out towards the 2nd loan Loan 2... So you need $411,000 + $9,000 (S/duty and Fees) so a total of $420,000 is required. So minus from this your $10,000 and the $30,500 left from the first loan. So your required loan amount is $379,500. This would be about 92%. If you can get the loan to 90% or lower the premium would also be far cheaper again... They charge you different %'s based on the LVR... and it jumps at 90%+ Whats going on with SOME brokers these days... I am a lending MGR for a bank and I do these calculations for people all the time so we can charge the cheapest premium and structure it the right way that suits them... get your broker to do some work and find out what the cheapest way to do it is...and not the easiest ( I meant that in a nice way by the way ) Good luck with it..... Building with Fairmont Homes NSW at Glenmore Ridge Lot 1007 Our Builder http://www.fairmonthomesnsw.com.au Our Blog http://drewandrenee.blogspot.com/ Re: Cost Of Mortgage Insurance 11Aug 31, 2011 9:36 pm investa Thank you, that sounds great. I'll ask my broker to structure it your way and I'll keep you guys posted. sorry I have said the above without knowing your position. You should look at the options with your broker and see how you go with mitigating the LMI cost. The idea of a broker is to find you a better deal than approaching a bank directly. Hope that they do that for you and structure it the right way! My contact details on on the right hand side of my blog... so if you want a hand... I am a phone call or email away Building with Fairmont Homes NSW at Glenmore Ridge Lot 1007 Our Builder http://www.fairmonthomesnsw.com.au Our Blog http://drewandrenee.blogspot.com/ Re: Cost Of Mortgage Insurance 12Sep 06, 2011 10:01 pm Just an update regarding my situation. I asked my broker to restructure it to save more LMi. Her response was I'm already onto it. Next day she said she was able to structure it 85% on current house then few days later decided to go do 90% as you suggested. My LMI will be around the 12k mark all up. It's still quite a lot. What's the norm these days? think I am gearing to high? Re: Cost Of Mortgage Insurance 13Oct 26, 2011 7:48 pm Just an update on my situation. Not sure what I have done to deserve this! Our broker has structured new loan at 92%. Last month I got pre approval with unconditional pending building contract. So he no I went to our builder and finally on Monday signed our contract and passed it on to our broker. Today I get a call from the loan administrator saying bank now wants to only lend us up to 90%! I was speechless. How can they spring this on us so late in application? Is it ethical kfor them to do this? I now to to either come up with 10k on top or go with another lender. I asked the administrator why they have changed their mind. His words where something along the lines of our credit score and was very vague like he didn't have the answer or he is keeping something from me... I can definitely tell by his voice he was not being 100% truthful to me. What are your thoughts? Has anyone been through this before? Why did they tell me I can borrow up to 95 % and now change their mind? T Hi there, long-time lurker but first time posting. I've bought a house 2 and a bit years ago and last year we had some major water damage on a converted pergola area… 0 7937 I apologise for any confusion, but your understanding is correct. We approached our situation differently based on advice from… 11 53228 i would not be signing anything on the day read your contract about when builder submits final invoice generally, have to meet builder within 7 days of receiving final… 1 4748 |