The property market has seen significant growth recently and this has impacted buyers and their deposit savings in turn.
Normally when a buyer needs to borrow in excess of 80% of the property value Lenders Mortgage Insurance (LMI) needs to be paid.
LMI provides little benefit for the borrower, it’s purely an insurance premium paid by the borrower to protect the lender against default of the loan.
LMI premiums can be quite high, for example if you were borrowing 85% to purchase a property for $500,000 the premium would be in excess of $5,000.
There are some benefits to paying LMI – it can help you get access to your own home sooner and stop having to pay rent.
With our specialised product we can provide up to 85% with no LMI required.
This can apply for purchase of a property, refinance, debt consolidation or cash out,
Interest only is available for up to five years as well as principal and interest payments.
So, if it’s looking like a stretch to meet that deposit amount or there’s not quite enough equity in your home to achieve your refinance goal, give us a call on (08) 8263 4009 or submit an enquiry online.