Need to refinance from Westpac Singapore as they're closing shop in Singapore

Any general questions you might have in regards to loans and finance.
Ainsley
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Joined: Wed Jun 26, 2019 3:05 pm

Need to refinance from Westpac Singapore as they're closing shop in Singapore

Postby Ainsley » Wed Jun 26, 2019 3:08 pm

Hi, I’m looking to refinance my home loan from Westpac Singapore. As per my understanding, Westpac is closing their Singaporean business and forcing all residents of Singapore to refinance. I received a closure notice from them last week. Can you help me refinance?

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Otto Dargan
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Re: Need to refinance from Westpac Singapore as they're closing shop in Singapore

Postby Otto Dargan » Wed Jun 26, 2019 5:30 pm

Yes, Westpac has stopped lending to Singaporean residents via their Singaporean entity however, they may consider lending via their Australian entity. That being said, we know that they are relatively conservative in their lending policies and there often other lenders out there with better interest rates.

Few Australian lenders are able and willing to lend to foreign investors due to the complexity of foreigner mortgage.
  • You can borrow up to 70% of the property value with a higher interest rate.
  • You can borrow up to 55% at interest rates below 5.00% if you have high net worth and earn a primary currency.
  • Singaporean dollar (SGD) is among the accepted currency of Australian lenders.
  • Foreign business income is accepted by only one or two lenders.

Our specialist mortgage brokers speak many languages and are experts in foreign citizen mortgage.

Give us a call on 1300 889 743 or fill in our free assessment form to find out if you qualify for a refinance home loan with an Australian lender.

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

Ainsley
Posts: 3
Joined: Wed Jun 26, 2019 3:05 pm

Re: Need to refinance from Westpac Singapore as they're closing shop in Singapore

Postby Ainsley » Wed Jun 26, 2019 6:07 pm

I’m concerned about income shading, is it the same as Singaporean banks? I’m hoping to release equity to use as the deposit buy another property.

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Otto Dargan
Mortgage Specialist
Posts: 7528
Joined: Sat Sep 06, 2008 5:55 pm
Location: Sydney, Australia
Contact:

Re: Need to refinance from Westpac Singapore as they're closing shop in Singapore

Postby Otto Dargan » Wed Jun 26, 2019 6:42 pm

Hi Ainsley,

Yes, you can release equity up to 70% of the property to use as the deposit to buy another property.

Typically, when calculating the borrowing power of a foreign resident, most lenders will use:

  • 80-85% of rental income from the property you’re buying.
  • Our best lenders will use 100% of your foreign income as long as you’re in a strong financial position.
  • In most cases, lenders will use between 60% and 90% of your foreign income so you may need to bear some money in AUD or be earning substantial rental income from Australian income.
  • Income from businesses outside of Australia (case by case basis).
  • Australian tax rates even if you are living in a country without income tax (some exceptions).
  • Loaded repayments on your foreign loans to allow for interest rate movements (some exceptions).

That means that most lenders allow you to borrow much less than you can actually afford! If you apply with the right lender, you’ll have your income accepted and a much higher chance of getting approved.


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

Ainsley
Posts: 3
Joined: Wed Jun 26, 2019 3:05 pm

Re: Need to refinance from Westpac Singapore as they're closing shop in Singapore

Postby Ainsley » Wed Jun 26, 2019 8:18 pm

Okay great. So can you note down all the costs involved when refinancing your investment loan?

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Otto Dargan
Mortgage Specialist
Posts: 7528
Joined: Sat Sep 06, 2008 5:55 pm
Location: Sydney, Australia
Contact:

Re: Need to refinance from Westpac Singapore as they're closing shop in Singapore

Postby Otto Dargan » Wed Jun 26, 2019 8:55 pm

Hi Ainsley,

Refinancing costs typically include:

  • Mortgage set up costs and an application fee for your new mortgage with the new lender.
  • Break fees if you’re refinancing while on a fixed rate term.
  • Discharge fees and settlement fee on your old mortgage.
  • Exit fees.
  • Other fees may apply.

You can use our property costs calculator to get an estimate of the fees like stamp dutyand government fees when purchasing a new property.

We specialise in foreigner mortgage.
Give us a call on 1300 889 743 or fill in our free assessment form to find out if you qualify for a foreign mortgage refinance

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


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