Hey brokers, I want to buy a house worth $550,000. I am a lawyer in a private law firm and I have been working at this place for three years now. I would need to borrow at least 90% of the purchase price and I was hoping to get some discount on my home loan. Is this possible in any way?
FYI – I earn around $70,000 a year.
Can a lawyer get a home loan discount?
- Otto Dargan
- Mortgage Specialist
- Posts: 7730
- Joined: Sat Sep 06, 2008 5:55 pm
- Location: Sydney, Australia
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Re: Can a lawyer get a home loan discount?
Hi and welcome to the forums gleeson,
Lenders see legal professionals such as barristers, lawyers and solicitors as low risk borrowers who have high incomes. This is why so many lenders may be willing to offer loan discounts to applicants who are lawyers such as yourself.
Some of the discounts you may be entitled to are as follows:
Cheers,
Otto
Lenders see legal professionals such as barristers, lawyers and solicitors as low risk borrowers who have high incomes. This is why so many lenders may be willing to offer loan discounts to applicants who are lawyers such as yourself.
Some of the discounts you may be entitled to are as follows:
- Reduced interest rates.
- Waived Lenders Mortgage Insurance (LMI).
- Higher exposure limits if you want to purchase multiple investment properties.
- Flexible credit criteria if you want to finance your legal practice.
Cheers,
Otto
Re: Can a lawyer get a home loan discount?
That’s great! Btw, which industry association do I need to be a member of in order to qualify for a discount? Is there any restriction on this?
- Otto Dargan
- Mortgage Specialist
- Posts: 7730
- Joined: Sat Sep 06, 2008 5:55 pm
- Location: Sydney, Australia
- Contact:
Re: Can a lawyer get a home loan discount?
Hi gleeson,
The industry associations that some lenders will require you to be a member of are as follows:
If you want to find out whether you qualify for a discount or not then you can fill in our free assessment form or call us directly on 1300 889 743.
Cheers,
Otto
The industry associations that some lenders will require you to be a member of are as follows:
- Law Council of Australia.
- Law Society of NSW.
- Law Society of South Australia.
- Queensland Law Society.
- The Australian Bar Association.
- Law Institute of Victoria.
- Australian Labour Law Association.
- Australian Corporate Lawyers Association.
- The Commercial Law Association of Australia.
- Australian Insurance Law Association.
If you want to find out whether you qualify for a discount or not then you can fill in our free assessment form or call us directly on 1300 889 743.
Cheers,
Otto
Re: Can a lawyer get a home loan discount?
I do have a membership to one of the above mentioned association. I will give you a ring to set up a meeting with one of your brokers and see if it’s possible for me to get a discount. Thanks and speak to you guys soon!
Re: Can a lawyer get a home loan discount?
Hi there, like gleeson, I too am a legal professional. I am the legal advisor for a multinational company. I am planning to buy a house worth $550,000 and I wanted to know more about the waived LMI part. Is there a limit to how much I can borrow if I want to have my LMI waived?
- Otto Dargan
- Mortgage Specialist
- Posts: 7730
- Joined: Sat Sep 06, 2008 5:55 pm
- Location: Sydney, Australia
- Contact:
Re: Can a lawyer get a home loan discount?
Hi thomas,
In normal circumstances, you would have to pay expensive LMI fees for loans over 80% of the property value. However, lenders may be willing to waive this fee off for loans up to 90% LVR. This means that your loan must not exceed the 90% limit in order to have your LMI waived. Along with this requirement, there are also other few criteria that you must meet to avoid paying LMI. These are as follows:
Otto
In normal circumstances, you would have to pay expensive LMI fees for loans over 80% of the property value. However, lenders may be willing to waive this fee off for loans up to 90% LVR. This means that your loan must not exceed the 90% limit in order to have your LMI waived. Along with this requirement, there are also other few criteria that you must meet to avoid paying LMI. These are as follows:
- Your income must be over $150,000 (including rent income, some exceptions apply).
- You must provide a current Practising Certificate for your state or territory.
- You should have good credit history.
- You should have stable employment.
- Your asset position should be strong.
Otto
Re: Can a lawyer get a home loan discount?
Oh okay sounds simple enough. Let me give you a call in a few days to find out what my chances are to have my loan approved with a discount.