Dear Esteemed, experienced and wise property investors,
Can anyone tell me how much I should pay for mortgage insurance? I have just refinanced and I think the bank got the calculations wrong.
Regards
BattleshipsIt varies depending upon the LVR.
Ask your lender to check it for you.
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Thanks Simon for the reply and I did ask. They said the calculation was correct but would not disclose what it was based on. The LVR was 95% on a split loan. One part of the split was for $75K and the difference between the premium when this was P&I and when it was Interest only for the first 5 years was $2019.82. That seems a bit steep to me so I want to see if there is a basis for questioning it further.
Regards
Battleshipshi i think they calculate it on the amount in total you are borrowing, mine was about $2500 for a 90% lend of $225K
dont forget if you refinance within 2 years you can get a partial kick back on the premium.
It can vary from state to state, loan amount, PI/IO, etc. at 95% it would be about 2.5% of loan amount.
Terryw
Discover Home Loans
Parramatta
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As Terry mentions not only does it vary with the LVR but also if the amount is less than $300K or between $300 – $500K or $500K and above.
Also it varies with the loan type whether than be IO or P&I and whether the loan is an IP or a PPOR for the Stamp Duty calculation.
Finally it varies from State to state.
Cheers Richard
Ph: 07 3720 1888
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http://www.yourstatefinance.comSpecialising in US & IP finance.
Richard Taylor | Australia's leading private lender
Thanks all for your contributions and advice.
The total was just under $300K and I paid 2.42% so that seems okCheers
[biggrin]try this calculator http://www.yourmortgage.com.au/calculators/mortgage_insurance/
it costs for not knowing
Great in theory but again doesn’t ask you half the questions you need to make a accurate calculation.
Cheers Richard
Ph: 07 3720 1888
[email protected]
http://www.yourstatefinance.comSpecialising in US & IP finance.
Richard Taylor | Australia's leading private lender
Edit – uncalled for.
There are some people who read comments on this board and take everything written as gospel – Richard was doing nothing more than highlighting that the website is an approximation only.
Cheers – Derek
Read what the great Richard (Qlds007) said and compare this:
1) It depends. Richard’s answer to the question,
2) 2.5% of loan amount for 95% LVR, or
3) Try http://www.yourmortgage.com.au/calculators/mortgage_insurance/it costs for not knowing
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