Browse Forums Home Finance 1 Jul 18, 2013 10:33 pm we are currently building our first house and have a loan through bank X but we can refinance pretty much straight away (once we have keys) through bank Y. we will only have to pay a small $500-600 fee to leave bank X. bank Y the bank we want to refinance with said that the value of the house needs to come back as the amount it has cost us to build + 5% is there anything we can do to increase the value of our new house so we can get it valued correctly so that bank Y will refinance us? Re: refinancing and valuations 2Jul 19, 2013 9:59 am hachy is there anything we can do to increase the value of our new house so we can get it valued correctly so that bank Y will refinance us? Wait a few years and hope property prices increase? In reality there isn't much you can do... and the valuers for banks do value very conservatively. Just apply and see how it turns out. Nothing to lose. Re: refinancing and valuations 3Jul 19, 2013 1:24 pm What's the reason that the valuation needs to come back at cost plus 5% to refinance? Is it to meet a certain online banks 80% LVR maximum? Cheer Tom Re: refinancing and valuations 4Jul 23, 2013 12:44 am 'small $500-600 fee to leave bank X' , Most Banks don't have break cost any more ... You may lost you package fee for the year . Why are you changing banks so soon ? If it's rate , I'll go back to bank X and ask them to review it and show them Bank Y's offer . If it's service , try a different branch or deal online . Sometimes you can get a small increase after the house has been built and landscaped , depending if the market is going up or you paid cash for some items like a big shed or a pool . Currently in some towns in Queensland the Market is Flat ... or going backwards (like Gladstone) due market changes ie Mining . Hang in there Stig Re: refinancing and valuations 5Jul 23, 2013 1:07 am Stig 'small $500-600 fee to leave bank X' , Most Banks don't have break cost any more ... You may lost you package fee for the year . Stig Don't be fooled by Wayne Swans rhetoric. While exit fees are a thing of the past for variable loans, banks are still allowed to charge an "administration cost" on the closing of a mortgage which is normally shown as a discharge cost. This equates to around $300-$400 for most lenders, and then you have the govt discharge of mortgage and then registration of mortgage which is another few hundred dollars so the $500-$600 quoted is about right. If you incorporate LMI then that figure increases substantially. There is no such thing as a free refinance and don't believe anyone who tells you differently. Cheers Tom Re: refinancing and valuations 6Aug 03, 2013 8:44 am plc What's the reason that the valuation needs to come back at cost plus 5% to refinance? Is it to meet a certain online banks 80% LVR maximum? Cheer Tom hubby has been dealing with the bank so i am not exactly sure why, we had less than 20% deposit. Stig 'small $500-600 fee to leave bank X' , Most Banks don't have break cost any more ... You may lost you package fee for the year . Why are you changing banks so soon ? If it's rate , I'll go back to bank X and ask them to review it and show them Bank Y's offer . If it's service , try a different branch or deal online . Sometimes you can get a small increase after the house has been built and landscaped , depending if the market is going up or you paid cash for some items like a big shed or a pool . Currently in some towns in Queensland the Market is Flat ... or going backwards (like Gladstone) due market changes ie Mining . Hang in there Stig we MAY change banks so soon as it will work out a lot cheaper to get our personal loan and home loan rolled into one with bank Y rather than having it seperate with the two banks. Re: refinancing and valuations 7Aug 03, 2013 11:25 am If you had less than 20% deposit did you pay LMI? Will you be borrowing more than 80% of the purchase +5% (ie value) with the new bank? Is the LMI transferrable? If not you don't want to have to pay that again. That's $1,000's Re: refinancing and valuations 8Aug 03, 2013 3:18 pm Something to keep in mind as well refinances were previously capped at 90% LVR. Not sure whether this is still the case. So even if you bought / built at 95% you can't normally re borrow back to that higher amount. So that may impact your plans to roll the personal loan into your home loan. Some things are worth waiting for. Re: refinancing and valuations 9Aug 04, 2013 1:46 am hachy we MAY change banks so soon as it will work out a lot cheaper to get our personal loan and home loan rolled into one with bank Y rather than having it seperate with the two banks. How much is the current home loan and personal loan? Also what was the valuation with the current bank? Re: refinancing and valuations 10Sep 05, 2013 10:25 pm travelbug If you had less than 20% deposit did you pay LMI? Will you be borrowing more than 80% of the purchase +5% (ie value) with the new bank? Is the LMI transferrable? If not you don't want to have to pay that again. That's $1,000's yes we paid LMI and hubby spoke to the bank we want to refinance with and even paying the LMI again it still works out that if they accept us and and roll the mortgage and personal loan into one we still save $800 per month. I recently went through a similar renovation and move scenario when updating our family home. We also swapped some rooms around and tackled a major… 2 9871 OK it's been a little while! I've been busy getting time where I can to work on this. I started by grading a pad (borrowing a… 26 19966 Unless the room is for storage then it's non compliant BCA V2 2019 S3 P3.8 You have 2 options 1. 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