Hello
Would like to know if anyone has a work around for 90% Loan being accepted by our bank but vetoed by the banks mortgage insurers on the ground of not enough comparable sales of the same type of property in the last 6-12 months.
It is a block of 3 units two are older units. But in this city unit blocks are being held tight by owners. There are plenty of single units for sale. In the worse case we have to pay 20% deposit but would like to keep that extra if possible.
We have approached valuers in that city but the ones we have spoken to agree that there probably aren't enough sale of that type of property for a comparable analysis….
ANY Suggestions
Thanks
Asbestos Audits Queensland | Asbestos Audits Queensland
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You could try ordering some upfront vals with other lenders using a different LMI provider.
Which bank said no?
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
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Do you have a copy of the valuation? Which lender did you go with? Are the units fully self contained?
TheFinanceShop | Elite Property Finance
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Thanks
for the comments so far. The bank is Heritage and the Units are fully self contained. We haven't seen a copy of the bank valuation as I think that is the problem no one wants to make a unverifiable call on their value.
Thanks
Asbestos Audits Queensland | Asbestos Audits Queensland
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You must have excellent servicing/income if you are going with Heritage. I would only use Heritage for 4 dwelling construction. You have a lot more options when it comes to 3 dwellings. I would have gone with NAB who have their own DUA and no postcode restriction plus they do upfront valuations. Hope I am not missing something but this is pretty easy peasy.
TheFinanceShop | Elite Property Finance
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At 90% NAB are still going to want a full val. I think it's worthwhile pursuing but there's still the risk of the val coming back with issues due to the lack of comparables. Don't get your hopes up but it's worth a crack.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
3 units on a single title means a long form valuation and all lenders will want this regardless of LVR. Also with 3 units on a single title there will always be a lack of comparables because of obvious reasons 3 units on a single title isn't as common as your traditional bread and butter stock. The benefit of doing it via NAB is you are doing the valuation upfront instead of submitting the application and praying it that the valuation stacks up.
Also be mindful that you will be up for the valuation fee because it will be a long form valuation (there are 2 types of full valuations). Its up to your broker or banker to see if they can waive the fee but you need to really plead your case.
Do plenty of ground work before the submission of the valuation. If you can tell me the area I may be able to tell you which valuer to request as we do plenty of 3/4 units on single titles.
TheFinanceShop | Elite Property Finance
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Jamie M wrote:At 90% NAB are still going to want a full val. I think it's worthwhile pursuing but there's still the risk of the val coming back with issues due to the lack of comparables. Don't get your hopes up but it's worth a crack.Or NAB sends out the same valuer. Take Shahins offer to try and avoid this.
Colin Rice | CDR Finance
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Email Me | Phone MePerth Based Mortgage Broker - Investment Property Finance Specialist | E: [email protected]
If it's a small town there's great chance they will send out the same valuer.
It's not always easy reallocating the valuation once it's been randomly assigned – the broker will need a compelling reason.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Find out who the valuer was for your Hertiage deal; than choose a diff valuer –
But as Jamie correctly mentioned, if it's a small town it's likely there would be probably only be 1-2 valuer servicing that area….but it doesn't hurt to try ( might cost you in terms of the valuation fee)
Mick C | Shape Home Loans
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Got a similar application going thru for a forum member buying here in Qld.
Lender gave it the nod but LMI said No.
Couple of ways but not that easy as has been stated.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
How did you end up going?
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Richard called your office last week before I posted but you were still on holidays I guess.
Well our solution was that we went and walked around every real estate agent in the town and got comparable properties that had sold during December that hadn't been recorded or were under contract and hadn't gone through yet. We have submitted these back to heritage to pass onto the valuer to see if that has any effect. We are optimistic but if they still want 20% we may have to look at other options. Heritage were fairly adamant it had to be valued by their valuer as we told them we were happy to pay a valuer in the town while we were there but that wasn't acceptable.
So we've taken action lets see where we get.
Thanks
Asbestos Audits Queensland | Asbestos Audits Queensland
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Hiya
Prob better off ordering another upfront val with a different lender rather than waiting for Heritage to give you an answer. They're not the easiest lender to deal with at the best of times.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Hi AAQ
Yes got back from UK mid last week.
Agree with Jamie.
Personally i would have given them to the valuer directly rather than thru the lender as you have no way of knowing whether they ever got to the right hands.
Fingers crossed it works out.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
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