Calculating LMI seems like a complicated process as there are a lot of things to consider and take note of. There is a lot of information on the internet about LMI, but not enough of how to accurately calculate possible LMI.
Can you give me some tips on how I should go about calculating my LMI as it will help me to decide whether I should get LMI or not.
Thanks in advance!
Alvin
Calculating LMI
- Otto Dargan
- Mortgage Specialist
- Posts: 7730
- Joined: Sat Sep 06, 2008 5:55 pm
- Location: Sydney, Australia
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Re: Calculating LMI
You can calculate LMI using our LMI calcualtor or our LMI rates page. Lenders don't give you much info on how they do their math, so a good mortgage broker is very well placed to help you compare premiums.
Generally if you do not have at least a 20% deposit then you will need to pay an LMI premium. Some people try to save up until they have a 20% deposit which is fine during a flat or falling property market, however if prices are rising it is usually cheaper to just pay the LMI. Saving up to meet an ever higher target often ends up costing much more in lost capital gains.
Generally if you do not have at least a 20% deposit then you will need to pay an LMI premium. Some people try to save up until they have a 20% deposit which is fine during a flat or falling property market, however if prices are rising it is usually cheaper to just pay the LMI. Saving up to meet an ever higher target often ends up costing much more in lost capital gains.
Re: Calculating LMI
You are saying quite right buddy. I am totally agree with you that there is a lot of data on internet but you can't find the accurate calculation. But i personally feel that otto's link is very nice. You should go for it. I hope you 'll find the solution of your problem.