ING have just announced they are reducing their low doc loan LVRs to a maximum of 60%.
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
No they have not Terry.
There have been LMI policy changes that will make borrowing more difficult for most Lo Doc loans from 60% – 80%, but your statement above is incorrect. Maybe that information was passed on to you via a misinformed party?
ING will still lend to 80% LVR, subject to LMI approval.
ING will lend up to 60% Lo Doc without LMI cover being necessary.All the best.
Hi Tim
Here is a quote from an email I received from ING on the 28th Nov 2008:
"Genworth will require additional documents for Lo Doc applications with an LVR above 60%. In ING
DIRECT’s view, these changes will render Genworth’s Lo Doc proposition uncommercial. To that end, ING
DIRECT will not endorse the changes and therefore no longer offer Lo Doc lending above 60% LVR.
Existing ING DIRECT Lo Doc credit policy (ie. up to 60% LVR) will continue to be offered and only change to
require GST registration for at least 12 months."I rarely use ING, so I don't know if this is correct or if it is still policy.
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
I hazard a guess it has come through only certain channels, as I can still place 80% Lo Doc through ING today.
The trick is, ING have a tiered ranking system for mortgage managers, and they offer different thing to different companies. If you are not on the top of their favourites list, then you do not get the full gambit of loan products.
Not sure. I am with FAST.
They may also use PMI (or whatever they are now called) – but from that email it looks like all Low Docs will be limited to 60%.
This should be affecting other Low Doc lenders who insure through GE too.
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
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