LVR 15% with no cash deposit

Discussion in 'Loans & Mortgage Brokers' started by Kidgeeq, 22nd Apr, 2019.

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  1. Kidgeeq

    Kidgeeq Active Member

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    Hi folks,

    I’m wanting to add another property to my portfolio. I’ve Currently got a property with an ANZ montage attached.

    Balance of mortgage is $305,000 balance with ANZ with a valuation of $410,000 (2018)

    Looking at purchasing established home for $380,000

    Looking to use first property as security and do a full refinance of both properties.

    Question:

    Will I be able to acquire approval without any cash deposit? As in, can I use LVR for deposit?

    Can I capitalise stamp duty?

    Any help will be appreciated

    Thanks
     
    Kidgeeq, 22nd Apr, 2019
    #1
  2. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    assume stamps are 12 000 say

    u will need 392 000

    392 + 305 = 697/ vals of 790 = 88 %

    So in theory yes

    million other things too of course like income serviceability etc

    right structure will save a lot of lenders mortgage insurance

    ta

    rolf
     
    Rolf Latham, 22nd Apr, 2019
    #2
  3. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    did u pay Lenders mortgage insurance on the initial loan ?

    ta
    rolf
     
    Rolf Latham, 22nd Apr, 2019
    #3
  4. Kidgeeq

    Kidgeeq Active Member

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    No I was under 80% LVR on the first loan
     
    Kidgeeq, 23rd Apr, 2019
    #4
  5. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    so the LMI will be pretty high

    if you keep each set of loans to one security, and not cross collateralise the loans, the LMI premiums will be a lot more "sensible"

    ta
    rolf
     
    Rolf Latham, 23rd Apr, 2019
    #5
  6. Kidgeeq

    Kidgeeq Active Member

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    I’m able to use security 1 for my next purchase without refinancing it?
     
    Kidgeeq, 23rd Apr, 2019
    #6
  7. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    Depends on a number of things

    It would need to be valued and at least a new loan for the deposit and costs for the next property to be attached to this one

    Why the reluctance to refi ?

    You may be well served to try different valuations fro diff valuers


    ta
    rolf
     
    Rolf Latham, 23rd Apr, 2019
    #7