4.55% fixed for 3 years just turned into 5.47%

Discussion in 'Property Finance' started by 1stepcloser, 3rd Oct, 2018.

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  1. 1stepcloser

    1stepcloser Active Member

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    Hi there,

    So this just happened I have emailed AMP like WTF and basically they have said because the LVR is so high nothing I can do...

    I have other investment properties with some equity in them is it worth trying to draw down on some of that to this reduce this loan.

    Increase one loan with a lower rate to reduce one loan with a higher rate if that makes sense.

    Or just cop it???

    Thanks Matt
     
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  2. Jamie Moore

    Jamie Moore MORTGAGE BROKER - AUSTRALIA WIDE Business Member

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    Hi there

    I assume the 3 year fixed rate just expired and reverted to variable?

    Could you refix at a lower rate?

    What's the LVR?

    Do you have a broker? Maybe they could order a couple of valuations with different lenders to see if a refi is possible.

    Cheers

    Jamie
     
  3. 1stepcloser

    1stepcloser Active Member

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    Hi Jamie,

    Its changed to variable, the reason I emailed them thinking they would refix to a lower rate which I did with my other 2 investment properties held with ANZ.

    I owe 455k on the loan but property would have dropped to 430 - 440k so no chance going somewhere else to re finance.

    Just thought AMP would be more helpfully with there reply.

    Matt..
     
  4. Redom

    Redom Finance Strategist Business Plus Member

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    Possible to refix with AMP or perhaps swap repayment/etc to a cheaper product?
     
  5. Lacrim

    Lacrim Well-Known Member

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    They may drop the rate to early 4s variable if you go P&I. Unless your LVR is high or the security is high risk.
     
  6. jazzsidana

    jazzsidana Mortgage Brokers - Investment Savvy Business Member

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    Withdraw equity from other properties to bring LVR down to 80% if possible.

    And then, refinance it with other bank to get better rates (one of the few options)..

    Or check fixed rate with AMP and maybe fix it again..

    Cheers,
     
  7. Shahin_Afarin

    Shahin_Afarin Residential and Commercial Broker Business Member

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    Listen to what Jamie has advised you or better yet contact him to sort it out.

    First negotiate a better rate with AMP. Failing that some lenders will do system vals depending on a number of parameters and the valuations are generally good so you may be able to refinance.

    Also dont be quick to refinance the loan if you have paid LMI on it.
     
  8. Ricki barkham

    Ricki barkham Well-Known Member

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    Will they lower there rate if you say you going to another back with lower rate kinda bluff to make then negotiate
     
  9. Brady

    Brady Well-Known Member

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    Good note point for others looking at fixed. In this market don't be fooled by flashy fixed rates unless they're going to price the variable after fixed.
    You can't always refinance later.
     
  10. Redom

    Redom Finance Strategist Business Plus Member

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    Some provide the post fixed discount upfront (ANZ) in the pricing requests now.
     
  11. 1stepcloser

    1stepcloser Active Member

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    Update just had a meeting and was able to go from 5.47% IO to 4.31% P&I paying about an extra $350 a month but slowly reducing the debt.
     
  12. mikey7

    mikey7 Well-Known Member

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    @1stepcloser good result!
    On what timeframe are you working on - How many years left on the loan?