okay so I want to do a 95% loan then renovate then revalue then refinance still using a 95% loan all within 2 months, Is it possible and which banks have done this for you recently?
I know it depends on a lot of things but lets forget about that, I'm more interested in knowing which banks will do the above, easiest to hardest bank?
And which LMI insurer is the most easiest to do the above?Which banks have there own inhouse LMI?
And the banks that have there own inhouse LMI which is the easiest bank to do the above deal?What is the highest LVR the bank will do with No LMI?
Have you got higher than 85% Recently with No LMI?
Which banks still remain doing 85% No LMI?The bank that does 85% No LMI, do they allow renovate, revalue then refinance within about 2 months?
I'm aware that some of these questions depend on a lot of other things but if you can answer the above questions then I can dig around certain banks and see if they will suit me,Thanks.
Can anyone answer all or part of this?
ThanksHi Keiko,
ING Direct (you can go direct or through a mortgage broker) have a product called “Redcued Equity Fee” (REF) this is where they will self insure (not go to mortgage insurance) for purchase loans up to 95% LVR. This is also cheaper then going to either Genworth or QBE mortgage insures. On this product they will also allow you to increase your loan back up to 95%.
I work at a Mortgage Manager and one of our funders is ING Bank, we will allow you to increase in 3 months, sorry not two.Another option to save you on valaution cost, is to request for a valuation that is “As if complete” this means that if you have a build contract of quotes for the work you want done, we can submitt that to the valaution and he will value the property has if the improvement on the property have been completed. The finder will want the improvement however to from the loan amount 95% of the property with the work done) and they will want to pay the builders/trafies directly. This will however save you time and money. Only of course if you are not doing the work yourself.
Requirements for the REF policy are: clear credit (no defaults), at least 2 years in current employment and must have genuine savings (this is money that you have saved. No money coming from First HOme Owners Grant ect. only 5% required)
let me know if you would like further information or would like a broker to come out and see you to best structure your loan.
Mel 121 wrote:Hi Keiko, ING Direct (you can go direct or through a mortgage broker) have a product called "Redcued Equity Fee" (REF) this is where they will self insure (not go to mortgage insurance) for purchase loans up to 95% LVR. This is also cheaper then going to either Genworth or QBE mortgage insures. On this product they will also allow you to increase your loan back up to 95%. I work at a Mortgage Manager and one of our funders is ING Bank, we will allow you to increase in 3 months, sorry not two. Another option to save you on valaution cost, is to request for a valuation that is "As if complete" this means that if you have a build contract of quotes for the work you want done, we can submitt that to the valaution and he will value the property has if the improvement on the property have been completed. The finder will want the improvement however to from the loan amount 95% of the property with the work done) and they will want to pay the builders/trafies directly. This will however save you time and money. Only of course if you are not doing the work yourself. Requirements for the REF policy are: clear credit (no defaults), at least 2 years in current employment and must have genuine savings (this is money that you have saved. No money coming from First HOme Owners Grant ect. only 5% required) let me know if you would like further information or would like a broker to come out and see you to best structure your loan.Hi Mel, Thanks that is good info, will ING also do upto 95% for self employed? As an example if the purchase price of the house was $400,000 and renovation costs were $50,000 and the valuer valued the house at $500,000 with renovations, would this mean that the bank will loan 95% of the end value $500,000 or will they lend 95% of the purchase price and the $50,000 renovation, which would be 95% of $450,000?
Cheers@ Mel 121… Thanks for information
They wouldn't lend on end value. Generally it would be based on the fixed price building contract.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
You must be logged in to reply to this topic. If you don't have an account, you can register here.
