Hi,
I've currently got a slight problem.
I've approached St George for a Home Loan package, and I've received verbal approval for an 80% loan of $423000. I've got an appointment this afternoon to finalise it.
I'm now hoping to be able to get a 90% home loan of $470000 instead. But I have no genuine savings, nor do I pay rent. St George has said that it's not possible to do this with them. My basic info: $5600/month before tax, clean credit record from Veda Advantage, buying property as an investment.
I've paid 10% deposit on a property already, and contracts have been exchanged. While I'm perfectly able to get by with a 80% loan, a 90% loan would make my life much easier for the next year. 10% of the money is still waiting to be deposited into my Savings account.
Is getting a 90% mortgage still possible in my situation?
First Home With No Genuine Savings
- Tony Dao
- Mortgage Specialist
- Posts: 111
- Joined: Fri Apr 01, 2011 2:41 pm
- Location: Sydney, Australia
- Contact:
Re: First Home With No Genuine Savings
Hi,
Yes it is still possible to get a loan at 90%. However if you have already exchanged contracts you will have to move really quickly. One major obstacle you would need to overcome for a non genuine savings loan is capacity ie based on $470K loan the monthly repayments will be approx $3126p/m - now you have no savings, are paying no rent & seem to have no debts. How can you prove to the banks that you can all of sudden commit to $ 3126p/m ?? if you can answer that - you will get the loan
regards
Yes it is still possible to get a loan at 90%. However if you have already exchanged contracts you will have to move really quickly. One major obstacle you would need to overcome for a non genuine savings loan is capacity ie based on $470K loan the monthly repayments will be approx $3126p/m - now you have no savings, are paying no rent & seem to have no debts. How can you prove to the banks that you can all of sudden commit to $ 3126p/m ?? if you can answer that - you will get the loan
regards