Hi guys,
I am purchasing 3 out of 5 units block. Currently I am thinking to get RAMS 3 yrs fixed at 7.67% or ING 4 yrs fixed rate at 7.99%. However both lenders have 25% maximum exposure rule which means each lender will only take one unit. This will force me to find at least 2 lenders or 3 to get this deal going. Can anyone tell me which lender is more flexible and has a great fixed rate at the moment?
Thanks.
Its more likely the mortgage insurers that are problem. You could try ANZ or St George – but will depend on what LVR you need.
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 are saying 25% rule is from the insurer and will not apply for 80%LVR?
Hi Prusli. It is not so much the LVR, but the fact that the mortgage insurance companies stipulate some of this type of thing, although there is some flexibility. The lenders you mention however, (rams anyway) have mortgage insurance regadless of the loan LVR, but you only pay it for LVR over 80%- as with any lender. Unfortunately this way you are restricted by the 'rules and policies' of the MI companies regardless of your deposit size. But, with one of the main banks, (big 4 – com, nab, anz, etc) at an LVR of less than 80% it is up to the bank, as they will 'balance sheet' lend – without worrying about mortgage insurance policies etc. Find a major bank you are comfortable with, and I think you will find it will be a walk in the park. There are some intro and special fixed rates at present, certainly better then ING, and a much better and safer proposition at the moment than the other lender you mentioned too!
All the best – let us know how you go.
thanks.. with my situation using hybrid trust eliminates most lenders. I tried Westpac and they said no. I am going thru Macquarie at the moment but their fixed 3 yr rate is 8.50% higher than most lenders. Not sure why they dont want ppl to fix the loan. I'll try NAB and hopefully they can give me good deal.
Try NAB.
RAMS rates are a bit high atm and they will probably stay higher until they can source funds at a decent rate again.
deal is off. Vendor changed his mind asking more than agreed price.
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