my questions are:
What does morgage insurance cover? Who is Bank Wests morgage insurer? Also, if in arreas on property loans, what does your morgage insurer offer you, if anything.
Hi Tuboo,
– Lender's Mortgage Insurance (LMI) insures your lender in the event that you default on your property loan.
– You will need to pay LMI if you borrow more than 80% of the purchase price.
– LMI does not offer you anything.
– LMI is a once off fee that you pay to the lender.Cheers
As has been mentioned Mortgage Insurance has absolutely no benefit to you the borrower and only covers the lender in the event of default, possession and loss after sale.
You however cop the one off premium charged.
Bank West are owned by CBA and from last recollection they use Gemworth to provide their cover.
Richard Taylor | Australia's leading private lender
And it is tax deductible
Hi all, thank-you for your responses, the only thing is I wish I had of known about this site about 12 months ago and perhaps I wouldnt be where I am today?
You responded quicker than the hundreds of people I contacted in the last 12 mths for information on property finance…..better still you guys answered my questions where not many even bothered to hear me out..
Thank-you all againGOM
Remember only tax deductible (Assuming the premium was charged on an investment loan) over the term of the loan or 5 years whichever is shorter and is proportionalised in Year 1.
Richard Taylor | Australia's leading private lender
Thanks richard for your info
for information on property finance…..better still you guys answered my questions where not many even bothered to hear me out..
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