Ask and you shall receive (maybe)

Discussion in 'Loans & Mortgage Brokers' started by Greyghost, 18th Nov, 2015.

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  1. KayTea

    KayTea Well-Known Member

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    It's definitely not working for others situations - I've tried asking, begging even, for a lotto win. But do you think anybody would listen?...............Nada..........
     
  2. Tranquilo

    Tranquilo Well-Known Member

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    @SouthBoy your LVR is high and they know your stuck with them due to the LMI that your already paid.

    I was at 74% LVR so got a good discount.
    I fixed both my IP's for 3yrs at a good rate when the credit crunch came a few months back
     
  3. Jess Peletier

    Jess Peletier Mortgage Broker & Finance Strategy, Aus Wide! Business Member

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    NAB aren't discounting off IP loans at all, and you won't get great discounts from anyone at 90% lvr.
     
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  4. SouthBoy

    SouthBoy Well-Known Member

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    @Tranquilo, I didn't pay LMI. You can get away without paying LMI in some circumstances. Maybe I should get my properties revalued and show a lower LVR. Though these properties were bought in the last 12 months and haven't seen great growth, I have added improvements to couple of the properties.
     
  5. SouthBoy

    SouthBoy Well-Known Member

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    @Jess Peletier , this is what I suspected. But I don't understand why NAB would charge me 0.30% more on my variable rate, when my loan balance with Westpac is the same.
     
  6. Tranquilo

    Tranquilo Well-Known Member

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    Really how did you manage that, LMI credits?.
     
  7. SouthBoy

    SouthBoy Well-Known Member

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    You can do this if you or partner are in certain professions; CPA/Law/Med
     
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  8. Tranquilo

    Tranquilo Well-Known Member

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    Ok got it.
     
  9. MattA

    MattA Well-Known Member

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    Yeah Baby. Formal letter arrived today
     
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  10. Redom

    Redom Mortgage Broker Business Plus Member

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    NAB are currently the pricey bunch of the majors for investment loans - best calculator giving them lots of business, but their rate isn't very sharp and not open to negotiating unless its set as P/I repayment (they'll discount investment loans at P/I quite heavily compared to the rest) - but thats not really much of an offering as most don't want their investments on P/I repayments.
     
  11. SouthBoy

    SouthBoy Well-Known Member

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    Thanks @Redom, maybe I should have listened to my broker and gone with Macquarie, though ANZ was never suggested. No P/I loans will not work out for my situation. I better start shopping hard, as I think 5.05% even at 90% LVR is ridiculous.
     
  12. Redom

    Redom Mortgage Broker Business Plus Member

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    If you can, negotiate with who you're with - if its NAB, it may be more difficult though (throw in a discharge form and see if they play ball then). Refinancing in LMI territory is likely going to cost you more.

    The retentions team at NAB will still discount I/O lending if you've shown that your ready to move.
     
  13. SouthBoy

    SouthBoy Well-Known Member

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    Thanks for that, will give it a go
     
  14. ADLInvestor

    ADLInvestor Well-Known Member

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    Yep correct, 4.4% on investment loan.

    Thanks Steven, i'll get my wife to do that. She's just starting out as a broker, she might as well get some experience talking to people :D

    We'd like to switch products, as it means instead of being about $200 out of pocket a month, it would be about $40. Also, there's probably 20-30k of equity in there that'd we'd like to get out.

    Thanks for all your replies!
     
  15. Steven Ryan

    Steven Ryan Well-Known Member

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    @ADLInvestor - all the best to your wife with the new career!
     
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  16. ADLInvestor

    ADLInvestor Well-Known Member

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    Thanks for the wishes, i'll pass them on. Or she'll likely see this, she's been doing a lot of reading of PC!
     
  17. JonoD

    JonoD Active Member

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    Made a couple of calls today to get some numbers from other majors to assist with a request to NAB....

    ANZ >5 oercent on INV so no help

    CBA said they would give me 1.4 off both OO and INV ( So 4.2 OO and 4.47 INV)... More helpful

    At this stage NAB are a " no further rate discounts" .... They did offer a $1000 retention payment....ive turned that down for now and asked them to look a bit harder at rate... Will see ( not planning to tefi, just asking the question)
     
  18. SouthBoy

    SouthBoy Well-Known Member

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    Spoke to NAB through my broker, and they have refused to go any lower than 5.05% for my IPs which are both at 90% LVR. Broker had a similar conversation with Westpac with whom I have a similar loan balance, once again at 90% LVR. Westpac have agreed to reduce the rate from 4.80% to 4.65%. I have told my broker I want to move out of NAB to another lender and looking at RateCity there are quite a few small lenders lending at 4.30% or around that. I have not looked at the cost involved in moving to another lender. Broker isn't very happy as the NAB loans were set-up less than 12 months ago and it appears the brokers commission might be clawed back by NAB, if I move out of NAB. Broker will have another chat to NAB and I expect will come back with a P/I offer or a fixed interest offer. I have told my broker clearly that I am only interested in variable I/O loans. Does it make sense to go with a P/I only loan with NAB if the rate is very low for an IP?
     
  19. Jess Peletier

    Jess Peletier Mortgage Broker & Finance Strategy, Aus Wide! Business Member

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    The cost of moving will be high b/c of the new LMI you'll have to pay all over again. Get your broker to do the sums for you.
     
  20. SouthBoy

    SouthBoy Well-Known Member

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    @Jess Peletier , currently we are not paying LMI due to our professions. Are there no institutions who exempt LMI when loans are at 90% LVR any more? I was also offered a 2 year fixed P/I rate of 4.19% and 2 years fixed I/O rate of 4.48%. I am considering this, but P/I makes no sense from a tax point of view.