Deal of the Week: High Loan-to-Value Ratio (LVR) Loans.
Deal of the Week: High Loan-to-Value Ratio (LVR) Loans.
Key Points – Deal of the Week
✅ Client Profile:
High-income couples who don’t qualify for Housing Australia schemes.
Looking for a home worth $ 800 K+ in a major city like Perth or Brisbane.
Struggling with deposit requirements or mortgage insurance costs.
✅ Solution 1 – 20/80 Loan Structure:
First 20% deposit loan from a lender at 13.5% interest (avoids LMI but has a deposit premium).
Includes a free buyer’s agent to help find the right property.
Remaining 80% loan financed separately at a much lower 5.69% interest rate.
Strategy:
Once the home increases in value (after ~1 year), use equity to pay off the 20% loan faster.
✅ Solution 2 – 100% LVR Loan (No Deposit Required):
Requires an excellent credit score (700+ preferred).
How to prepare:
Cancel credit cards and any Buy Now, Pay Later accounts.
Pay off unsecured debts (personal loans, etc.).
Keep secured loans (e.g., car loan) if necessary.
Prove ability to service the loan with savings—one lender requires twice the loan amount in savings as a buffer.
✅ Key Takeaways:
Improve your credit score now to maximize borrowing power.
Eliminate unsecured debts to increase loan eligibility.
Strategic financing options exist for high-income earners without a large deposit.
📞 Want to explore your options? Let’s chat!
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