Portability application

Discussion in 'Loans & Mortgage Brokers' started by Directproperty, 26th Oct, 2018.

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  1. Directproperty

    Directproperty Active Member

    Joined:
    26th Jun, 2015
    Posts:
    29
    Location:
    Adelaide
    Has anyone had portability of their loan denied? I’ve been told I can port 2 loans over to 1 property, as long as it’s the same amount and no more than 80% of the new purchase price. I can’t actually apply to port loans over until I have sale contracts and a purchase contract but I’m wondering if anyone has applied and been knocked back at the last minute? I guess I’m stressing out a bit because you can’t get unconditional approval like with a new loan!

    Thanks.
     
    Directproperty, 26th Oct, 2018
    #1
  2. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

    Joined:
    14th Jun, 2015
    Posts:
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    Location:
    Gold Coast (Australia Wide)

    Bit of a speciality of ours :(

    rare that it would be declined, but depends on lender and a few other things

    Borrowers and owners needs to be the same on both sides.

    The 80 % thing can be tricky, if your loan was previously approved at say 64 %, most lenders will only do that same LVR.

    ta
    rolf
     
    Rolf Latham, 26th Oct, 2018
    #2
  3. Directproperty

    Directproperty Active Member

    Joined:
    26th Jun, 2015
    Posts:
    29
    Location:
    Adelaide
    Thanks Rolf,

    Both loans were purchased at 80% lend.

    If I got a bridging loan or other temporary loan to allow me to settle on the settlement date can I still use portability? My loans are with Westpac.

    Thanks.
     
    Directproperty, 27th Oct, 2018
    #3
  4. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

    Joined:
    14th Jun, 2015
    Posts:
    10,653
    Location:
    Gold Coast (Australia Wide)
    typically you can do a refinance port

    we have done a few :)

    ta
    rolf
     
    Rolf Latham, 27th Oct, 2018
    #4
  5. Marty McDonald

    Marty McDonald Mortgage broker Business Member

    Joined:
    22nd Jun, 2015
    Posts:
    880
    Location:
    Sydney North Shore and Norther beaches
    Bump.

    I just had a probability declined. Clients sold for $2.2 and wanted to keep their $1.2M loan open so they could use for next purchase. Wanted to go to cash as security for a while while they were overseas (posting).

    CBA wanted full A&L and payslips etc. Reason was a large amount of cash available ie the other $1M. Weird.

    I did a blog on loan [portability whole back if anyone finds useful here is the link.
    Loan Portability/ Substitution of Security
     
    Marty McDonald, 7th Mar, 2019
    #5
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