How can I qualify for a 95% home loan?

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JordanYeats82
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Joined: Thu Mar 07, 2019 4:34 pm

How can I qualify for a 95% home loan?

Postby JordanYeats82 » Thu Mar 07, 2019 4:37 pm

Hello,

I’m a mechanical engineer from Grafton and am looking to purchase a property around Clermont that’s currently priced at $650,000. I recently got married and I think it’s about time I bought a new property where I can start a family. I have around $30,000 saved up as a deposit that I want to use to cover the additional costs. I am looking for a 95% home loan! I was wondering if you could tell me how I could qualify for it!

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Otto Dargan
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Re: How can I qualify for a 95% home loan?

Postby Otto Dargan » Thu Mar 07, 2019 4:56 pm

Hi Jordan,

Welcome to the forums.

To qualify for a 95% home loan, you will need a minimum of 5% deposit. It seems like you’re just shy of $2,500.

As you mentioned that this is the first time you’re purchasing a property, you might be eligible for a first home owners grant (FHOG). You can use the grant to make up for the rest of the deposit.

You might also be eligible for an interest rate discount if you can prove that you’re in a strong financial position.

Note that not all lenders offer 95% home loans.

Most lenders consider all loans over 80% of the property value to be high-risk so they often charge Lenders Mortgage Insurance(LMI).

Call us on 1300 889 743 or complete our free assessment form to find out if you qualify for a 95% home loan.

Cheers,
Otto
Otto Dargan
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P | 1300 889 743
Home Loan Experts

JordanYeats82
Posts: 3
Joined: Thu Mar 07, 2019 4:34 pm

Re: How can I qualify for a 95% home loan?

Postby JordanYeats82 » Thu Mar 07, 2019 5:25 pm

Hey,

Thanks for helping me out with this. Yes, this is the first time I’m purchasing a property for myself. Can you tell me how much I can receive from the first home owners grant?

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Otto Dargan
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Joined: Sat Sep 06, 2008 5:55 pm
Location: Sydney, Australia
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Re: How can I qualify for a 95% home loan?

Postby Otto Dargan » Thu Mar 07, 2019 5:38 pm

Hey Jordan,

The actual amount you get varies depending on the various first home owners grants and stamp duty concessions available in each state.

You can use our first home grant calculator to find out just how much you can expect to receive.

Cheers,
Otto
Otto Dargan
Mortgage Broker
P | 1300 889 743
Home Loan Experts

JordanYeats82
Posts: 3
Joined: Thu Mar 07, 2019 4:34 pm

Re: How can I qualify for a 95% home loan?

Postby JordanYeats82 » Thu Mar 07, 2019 5:52 pm

While we’re at it, can you also tell me just how much LMI I will have to pay? And if there was any way for me to avoid it? Just trying to map out my options.

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Otto Dargan
Mortgage Specialist
Posts: 7391
Joined: Sat Sep 06, 2008 5:55 pm
Location: Sydney, Australia
Contact:

Re: How can I qualify for a 95% home loan?

Postby Otto Dargan » Thu Mar 07, 2019 5:54 pm

Hey Jordan,

The LMI premiums vary depending on the loan amount compared to the property value (LVR), your overall borrowing amount and the lender you choose.

You can use our LMI calculator to find the cheapest LMI premium from our panel of lenders and speak to one of our mortgage brokers directly to find out if you qualify.

Call us on 1300 889 743 or fill our
free assessment form so one of our mortgage brokers can assist you.

Cheers,
Otto
Otto Dargan
Mortgage Broker
P | 1300 889 743
Home Loan Experts


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