Professional loans – Up to 90% without Lenders Mortgage Insurance

04 Mar Professional loans – Up to 90% without Lenders Mortgage Insurance

Vet 457.jpg

There are many occupations that can benefit from a waiver of Lenders Mortgage Insurance up to 90%. These can include:

  • Preferred Medical Professionals
  • Dentists
  • Optometrists
  • Legal Professionals
  • Accounting & Finance Professionals
  • Pharmacists
  • Vets
  • Geologists
  • Professional Athletes
  • Professional Entertainers

Why are lenders offering this preferential treatment to deal with professionals?

Lenders Mortgage Insurance (LMI) is designed to protect the lender against the possibility of default by the mortgage customers. However, some lenders have realised that you, as a member of a certain profession, are far less likely to statistically default on your mortgage and other loans compared to other clients. Because of this some lenders have policies in place to waive their LMI premium ip to 90%. Which can allow you to save potentially thousands of dollars on the premium and complete a transaction with a far lower deposit. As an example on a $750,000 property, a medical professional may be able to save up to $17,894 in upfront LMI fees (90% waiver). This applies to both primary places of residence and investment properties.

If I am buying with my partner/ spouse who is not within those professions, will I still qualify for the LMI Waiver?

Policies vary from lender to lender, but eligibility for this valuable mortgage benefit is not dependent upon both borrowers being employed in those sectors. Only one borrower needs to qualify.

Can I use the First Time Home Owners Grant as part of my deposit?

Your deposit can come from any number of sources: savings, gift from parents or other sources, and the First Home Owners Grant.

What loan products are available?

Taking advantage of an LMI waived offer does not limit your choice of mortgage. All of the different mortgage products will be available to you – including loans specifically designed for professional, like variable mortgages with package discounts, and fixed rate offers with features such as offset accounts and redraw.

Want to know if you qualify?

Contact Paul Fox on 08 9304 9682/0400 564997 or email paul@foxmortgages.com.au for a free no obligation appointment.

No Comments

Post A Comment