LENDING UPDATE – 22.04.10

MELBOURNE MORTGAGE FINANCE LENDING UPDATE – 22.04.10

Key lending issues

  • lenders have all increased interest rates following recent Reserve Bank rate decision
  • First Home Owners Grant of $9,000 still available until 30.06.2010
  • ANZ increases maximum loan-to-valuation ratio to 95% for its own customers only
  • variable rate loans still account for over 95% of all new loans approved
  • smaller non-bank lenders continue to offer very competitive products
  • personal protection insurance essential for borrowers
  • low-doc loans more difficult to obtain with most lenders requiring BAS statements
  • investors using equity in current residence to purchase rental property
  • excellent refinance opportunities for home owners with good equity

LENDER COMPARISON

The following table shows some of the more competitive variable rate products available for a normal $300,000 loan. 12 month “honeymoon” rate products excluded. Lenders’ maximum loan-to-valuation ratios (LVRs) and current 3 year fixed rates are also shown.

Variable %
LVR
max %
3 Year
Fixed %
PLAN Lending Performance Plus<65% 6.20 65 7.55
Homeside/nab Homeplus <75% 6.22 75 7.49
PLAN Lending/nab Performance Plus 6.30 90+LMI 7.55
Homeside/nab Homeplus 75-90% 6.32 90 7.49
AFM Secure Option 6.34 95 7.39
Homeloans Limited Premium Saver 6.34 90+LMI 7.89
The Rock B Soc Rock Star 6.39 90 7.49
Homeside/nab Homeplus>90% 6.42 95 7.49
ING Simplifier Smartpack 6.43 90+LMI 7.59
CBA 3 yr Special 6.43 90+LMI 7.89
ANZ Breakfree 6.46 90 7.83
ANZ Simplicity Plus 6.46 90 7.83
St George Advantage 6.48 90+LMI 7.69
ING Simplifier 6.49 90+LMI 7.59
Police & Nurses C U Dream Home Loan 6.49 95+LMI 7.59
Adelaide Bank Variable Smartfit 6.49 90+LMI 7.39
St George Basic 6.51 90+LMI 7.69
Suncorp Back to Basics<90% 6.51 90 7.59
Westpac Flexi First 6.56 87 7.79
CBA MAV Standard 6.61 90+LMI 7.74
Suncorp Back to Basics>90% 6.71 95+LMI 7.59
Bankwest Lite Plus 6.83 95+LMI 7.79
Bankwest Mortgage Shredder 7.05 95+LMI 7.79
Notes : Each lender has specific lending criteria which must be satisfied prior to loan approval
Interest rates and LVRs for “low doc” loans may vary from figures in table
+LMI indicates lenders who are willing to add “once only” lender’s mortgage insurance premium to the loan amount. Borrowers do not then have to pay LMI from their own cash
Westpac, St George, CBA and ANZ will lend up to 95% to their OWN CUSTOMERS only, if required accounts have been held for necessary periods and only under strict conditions

REVERSE MORTGAGE LOANS

Variable %
Max LVR %
Bankwest Seniors Equity Release 7.90 25
St George Seniors Access 8.18 15-25 based on age
CBA Equity Unlock 8.21 20-45 based on age
Notes : Lenders have different policies on maximum loan amounts based on borrower age
Each customer scenario must be carefully examined before selecting a suitable lender

OTHER LENDING TIPS

  • Some lenders offer “low doc” loans at good rates without a requirement for BAS statements
  • 100% loans can be arranged for owner occupiers/investors using a Parental Guarantee option
  • 100% loans can be arranged for investors who have good equity in an existing property
  • A full review of personal protection insurance is strongly recommended when purchasing

Contact Melbourne Mortgage Insurance for assistance with a new loan application. There is NO CHARGE for arranging loans which settle.

Barry LeBrocq

Melbourne Mortgage Finance
Mob 0437417042
Web www.mmfinance.com.au

Disclaimer : The above information is intended as general information only and is not intended to address specific personal situations. Every effort has been made to ensure that content is accurate. Potential borrowers should contact Melbourne Mortgage Finance to discuss specific financial needs and loan eligibility.

What our customers say about us

Thanks for all your help and for making it so easy for me. Life will be so different now.

Jan Vincent
Montrose, VICTORIA

Thank you for your time on the phone yesterday and copying me into the below email.
I just wanted to take the time to say that I have never seen such a comprehensive email provided to clients by a Broker before. Very clear and detailed.
I hope it’s ok that I hold onto your details to refer to clients who may need assistance.
Kind Regards,

Shannon Oatley
Director & Licensed Conveyancer
Property Conveyancing Group, VICTORIA

We have found Barry Le Brocq of Melbourne Mortgage Finance to be very patient, caring and diligent in achieving a successful outcome to our refinancing requirement. We have no hesitation in recommending his services to others.

Don & Christine Perrett
Leongatha, VICTORIA

Many thanks Barry for the exceptional service that you have provided. We will most certainly be recommending you to our daughter (Bank of Melbourne branch manager) for any future customers who need a reverse mortgage loan.

Paul & Barb Spark
Somerville VICTORIA

 

LENDING UPDATE 14.06.19

  • LIVING EXPENSES ARE NOW A KEY ISSUE
  • COMPREHENSIVE CREDIT REPORTING NOW IN EFFECT
  • INVESTMENT LOANS AT OWNER-OCCUPIER INTEREST RATES
  • REVERSE MORTGAGE LOANS FOR SENIORS OVER 60
READ MORE

Melbourne Mortgage Finance offers an extensive range of mortgage products and services including

Home Loans, Investment Loans, Equity Access Loans, Low Doc Loans, 100% Loans, Refinance Loans, Commercial Loans, Deposit Bonds, Reverse Mortgages, Accommodation Bonds, Vehicle Finance, Plant and Equipment Finance, Financial Planning and Business Finance.

IMMEDIATE appointment can be made to meet at your home or office

  • NO CHARGE for assisting you. We receive a standard fee from the lender you select
  • reliable service, communication and follow-up. See “Testimonials
  • accreditation with 20 national lenders, allowing you to select from an excellent range of loans
  • we carefully listen to your needs, do our research, then present you with a short-list of three potential loan solutions. You choose the lender.
  • printouts of products, fees, interest rate and loan features are provided
  • arrange for your property insurance and personal insurance requirements to be assessed
  • ongoing availability to assist you after loan settlement
  • over 30 years experience in arranging finance and mortgage loans