How is LMI calculated? Mortgage Choice #reverse #mortgage


#home mortgage insurance

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How is Lenders Mortgage Insurance (LMI) calculated?

How is LMI calculated?

LMI is calculated as a percent age of the loan amount and your LMI will vary depending on your Loan to Value Ratio (LVR) as well as the amount of money you wish to borrow.

The percentage you’re required to pay increases as the LVR and loan amount increase, and usually goes up in stages.

Lenders Mortgage Insurance costs differ depending on the loan, lender and the LMI provider. The factors that determine the cost of your LMI can also include:

  • Whether your property is owner occupied or not – it is believed that you are less likely to default on a loan if the property is also your residence.
  • If you are self employed or paid as a PAYG employee.
  • Whether or not you have genuine savings.
  • Whether or not you are applying for the First Home Owner Grant (FHOG).

Contact Mortgage Choice today to chat with a home loan expert and find out exactly how much LMI you will need to pay.

Stamp duty and taxes on LMI

Stamp duty and GST are both payable on Lenders Mortgage Insurance and these are generally included in the total quoted price for your LMI. Please note that this stamp duty is different to the stamp duty payable when purchasing a property .

Our expert mortgage brokers will explain and work with you through all of these taxes and fees so you understand how your LMI will impact your home loan .

Talk to us today about your home loan and find out whether you need to pay LMI

All fields required

Thanks for your enquiry. We’ll match you up with your local Mortgage Choice broker who will get in touch with you soon!

Follow us for the latest news and tips on properties and home loans:

About Mortgage Choice

Established in 1992 by brothers Rod and Peter Higgins, Mortgage Choice was founded with the aim to help Australians improve their financial situation by offering a choice of home loan providers, coupled with the expert advice of a mortgage professional.

Since that time, we have grown and developed into a fully fledged financial services provider, and our founding principle remains very much at the heart of what we do.

Over 20 years of industry experience has taught us that you want advice you can trust and understand, from experts who have your best interest at heart. We now have the ability to deliver this across various financial products, including home loans, financial planning, car loans, personal loans, commercial loans, asset finance, deposit bonds, as well as risk and general insurance.

The information provided in this website is for general education purposes only and does not constitute specialist advice. It should not be relied upon for the purposes of entering into any legal or financial commitments. Specific investment advice should be obtained from a suitably qualified professional before adopting any investment strategy.

*Note: the home loan with the lowest current interest rate is not necessarily the most suitable for your circumstances, you may not qualify for that particular product, and not all products are available in all states and territories.

#The comparison rate provided is based on a loan amount of $150,000 and a term of 25 years. Warning: This Comparison Rate applies only to the example or examples given. Different amounts and terms will result in different Comparison Rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the Comparison Rate but may influence the cost of the loan.

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How is LMI calculated? Mortgage Choice #refinancing #home #mortgage


#home mortgage insurance

#

How is Lenders Mortgage Insurance (LMI) calculated?

How is LMI calculated?

LMI is calculated as a percent age of the loan amount and your LMI will vary depending on your Loan to Value Ratio (LVR) as well as the amount of money you wish to borrow.

The percentage you’re required to pay increases as the LVR and loan amount increase, and usually goes up in stages.

Lenders Mortgage Insurance costs differ depending on the loan, lender and the LMI provider. The factors that determine the cost of your LMI can also include:

  • Whether your property is owner occupied or not – it is believed that you are less likely to default on a loan if the property is also your residence.
  • If you are self employed or paid as a PAYG employee.
  • Whether or not you have genuine savings.
  • Whether or not you are applying for the First Home Owner Grant (FHOG).

Contact Mortgage Choice today to chat with a home loan expert and find out exactly how much LMI you will need to pay.

Stamp duty and taxes on LMI

Stamp duty and GST are both payable on Lenders Mortgage Insurance and these are generally included in the total quoted price for your LMI. Please note that this stamp duty is different to the stamp duty payable when purchasing a property .

Our expert mortgage brokers will explain and work with you through all of these taxes and fees so you understand how your LMI will impact your home loan .

Talk to us today about your home loan and find out whether you need to pay LMI

All fields required

Thanks for your enquiry. We’ll match you up with your local Mortgage Choice broker who will get in touch with you soon!

Follow us for the latest news and tips on properties and home loans:

About Mortgage Choice

Established in 1992 by brothers Rod and Peter Higgins, Mortgage Choice was founded with the aim to help Australians improve their financial situation by offering a choice of home loan providers, coupled with the expert advice of a mortgage professional.

Since that time, we have grown and developed into a fully fledged financial services provider, and our founding principle remains very much at the heart of what we do.

Over 20 years of industry experience has taught us that you want advice you can trust and understand, from experts who have your best interest at heart. We now have the ability to deliver this across various financial products, including home loans, financial planning, car loans, personal loans, commercial loans, asset finance, deposit bonds, as well as risk and general insurance.

The information provided in this website is for general education purposes only and does not constitute specialist advice. It should not be relied upon for the purposes of entering into any legal or financial commitments. Specific investment advice should be obtained from a suitably qualified professional before adopting any investment strategy.

*Note: the home loan with the lowest current interest rate is not necessarily the most suitable for your circumstances, you may not qualify for that particular product, and not all products are available in all states and territories.

#The comparison rate provided is based on a loan amount of $150,000 and a term of 25 years. Warning: This Comparison Rate applies only to the example or examples given. Different amounts and terms will result in different Comparison Rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the Comparison Rate but may influence the cost of the loan.

Register for Mortgage Choice news