Not sure I understand exactly how this works Richard.
I have not paid any LMI at this stage as I haven't signed the construction contract yet. 
When I purchased the land I put down a 36% deposit but now that the construction costs are factored into it that 36% has turned into a 9.9%dep.
I am looking to increase the cost of the build to increase…[Read more]

Thank you all again for your input.
Whilst I wish my broker made me aware of this when setting up the mortgage, I'll take the long view here and cop the hit.
I've decided to put a bit of my own cash into the build to bring the LMI down to a more bearable figure.

Thanks again.

Thanks all.

It is very unfortunate that an insurer can manipulate a value to influence the premium. Obviously the land has already been purchased so they know I have no option other than to proceed and pay the premium.

I have just bypassed the broker and called the lender directly and they've told me that the value of the land and the build is…[Read more]