Are banks pulling out of waived LMI for medical professionals?

Any general questions you might have in regards to loans and finance.
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Otto Dargan
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Re: Are banks pulling out of waived LMI for medical professionals?

Post by Otto Dargan »

Hi Braithwater. Welcome to the forums.

The reason why Macquarie pulled out of this offer has to do with "risk-weighting" their loan book.

Basically, there is an inherent risk in not charging LMI to someone when they borrow more than 80% of the property value, even if surgeons and medical professionals are in strong financial positions in stable, long-term careers.

To ensure they don't put themselves in a position where they're highly exposed to a large amount of default risk, they only approve a finite number of 90% no LMI loans for doctors, typically based on maximum dollar amount.

In Macquarie's case, it appears they've reached their limit.

Luckily, there are other banks that provide discounts on Lender Mortgage Insurance (LMI) to surgeons and other medical professionals when buying up to 90% of the property value.

Apart from the discount on LMI, doctors are also eligible for:
  • Special discounts: This includes reduced interest rates and home loan fee waivers exclusive to medical professionals.
  • Higher maximum borrowing amount: Some lenders will lend you up to $4.5 million for your home and investment properties while larger loans are available on a case by case basis.
  • The opportunity to build a property portfolio fast: Home loans for doctors can be used to buy a new property or refinance your existing loan to buy more properties.
  • Asset protection: Protect your assets and take advantage of tax benefits by purchasing in a company or trust structure.
Please enquire online or call us on 1300 889 743 and check if you qualify or not.

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

User avatar
Otto Dargan
Mortgage Specialist
Posts: 7730
Joined: Sat Sep 06, 2008 5:55 pm
Location: Sydney, Australia
Contact:

Re: Are banks pulling out of waived LMI for medical professionals?

Post by Otto Dargan »

Hi Braithwater,

The fact that you work at a private practice won’t affect the deal you’ll receive from the banks. However, it’s a requirement that you are a member of an acceptable professional organisation such as the Royal Australasian College of Surgeons (RACS).

If you want to learn more about which banks can provide you such discounts, then you can have a look at our website. You can also discuss things directly with one of our specialist mortgage brokers by calling us on 1300 889 743 or by filling in our free assessment form.

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

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