Refinancing Amount/ UBank/ Top-up

Discussion in 'Loans & Mortgage Brokers' started by MarkyMark, 3rd Jun, 2016.

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  1. MarkyMark

    MarkyMark Member

    Joined:
    28th May, 2016
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    Location:
    QLD
    Hi folks,

    Question regarding refinancing. Shopping around to refinance about 800k-1m worth of loan. Some brokers have been telling me the larger you refinance the more competitive the interest rate is available. I am not entirely sure whether this is a tactic to maximize their commissions/ or is being genuine?

    Other question is around folks whom are with UBank, how have you found the Top-Up process? Are they more conservative when it comes to revaluations? Which banks have the best top-up policies/ revaluations from your experience?


    Thank you
    Mark
     
    MarkyMark, 3rd Jun, 2016
    #1
  2. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Its true. High loans mean greater discounts.

    Tops ups with Ubank will be a nightmare. They lack flexibility and this can lead to stuffing up deductibility of interest.
     
    Terry_w, 3rd Jun, 2016
    #2
    Cia likes this.
  3. Shahin_Afarin

    Shahin_Afarin Residential and Commercial Broker Business Member

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    Why do you need to refinance away from your existing lender? Is it due to rate? If so why don't you speak to their retentions team and see if they are able to give you a better rate.

    What are your requirements beyond the interest rate?

    Whats your longer term plan? No point in using say a generous lender now just to get a cheaper rate if you are planning to purchase x number of properties within a short period of time.
     
    Shahin_Afarin, 3rd Jun, 2016
    #3
  4. Jess Peletier

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

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    Just looking at U-banks rates, you'd get better with CBA and others at the moment for IP's. You'd pay a $400/yr fee, but the added functionality and convenience would outweigh the cost for most people.
     
    Jess Peletier, 3rd Jun, 2016
    #4
    Cia, Jamie Moore and Phantom like this.
  5. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    Have a read of the t and Cs around the redraw with the u bank product.

    Obviously not an issue if you keep the loan fully drawn

    TA

    ROLF
     
    Rolf Latham, 3rd Jun, 2016
    #5
  6. Cia

    Cia Well-Known Member

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    18th Jul, 2015
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    Location:
    Adelaide
    I had a Ubank loan and two top ups. The original loan took 4 months to refinance PPOR. The Top Ups took around 6 weeks. It was a bit annoying because they wouldn't let me talk directly to the Credit Department, but in the end they got through. DM if you'd like more info.
     
    Cia, 17th Oct, 2016
    #6