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Registered mortgage vs splits

Discussion in 'Property Finance' started by Danielt25, 4th Mar, 2016.

  1. Danielt25

    Danielt25 Active Member

    Joined:
    7th Oct, 2015
    Posts:
    43
    Location:
    Brisbane Qld
    I received some loan documents from CBA to refinance my PPOR. I asked them to refinance my existing loan of $1.49m (80% LVR at time of loan establishment) to $1.78m (now 90% LVR) but I wanted 6 splits for ease of managing the funds.

    However they have sent me documents (which i am yet to sign) that each of the 6 loans is each a registered mortgage totalling the $1.78m - rather than one registered mortgage of 1.78m with 6 splits - meaning now each mortgaage incurs separate registration /discharge fees.

    My original financier who I am refinancing from, established one initial mortgage of $1.49m and was able to have it as 2 splits (eg. A & B) (without each split being a separate registered mortgage). Then down the track to split "A" into several smaller splits only cost $50 and was not a separate registered mortgage.

    I am not sure if the CBA did this to duplicate registration/discharge fees (to make it more costly for me to refinance down the track) - mortgage discharge fee is $300 per mortgage = $1800 for 6 registered mortgages + $169 per mortgage with titles office... Or because they are waivering the ~$50,000 LMI (loan is at 90% LVR), or because I'm cashing out more equity above original loan amount of $1.49m, or because it's set up with an offset facility.

    Each loan is the same variable rate with the 1.45% discount - they wouldn't do the 1.5% discount.

    Any thoughts?
     
  2. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

    Joined:
    14th Jun, 2015
    Posts:
    1,161
    Location:
    Gold Coast
    do you have 6 separate mortgages to sign - I doubt it.........but

    I thik you have 6 separate loan agreements that will all be secured by the ONE mortgage

    145 pts on a 90 % no MI lend with cash out .................Run quick and take it


    ta
    rolf
     
    tobe, York and Terry_w like this.
  3. Danielt25

    Danielt25 Active Member

    Joined:
    7th Oct, 2015
    Posts:
    43
    Location:
    Brisbane Qld
    Thanks Rolf, actually on closer inspection there is only one QLD land mortgage form (which I presume means they are only registering one mortgage) - even though I have to sign each of six individual loans (consumer credit contract schedule) agreements.