If we have a 15% deposit can we get a loan without having to pay mortgage insurance?

Hi,

Yes, you can. There are 2 options:
1) if the combined income is more than $150,000 a year, you can get a good product with variable and fixed options,
2) If the combined income is less than $150,000, another lender offers a variable only,

Please let me know if you need any help.
Michael Nasr
02 9897 9696

Hi Chris,
Appreciate that loans which do not charge mortgage insurance when there is only a 15% deposit usually have a higher than average interest rate, so that you can end up paying more in the long run.
Another option to look at is something called a "family pledge"(generic name) which is where a family member (usually mum & dad) allow the Bank to use some of the equity in their home to lower the lending ratio such that mortgage insurance is not payable. In your case, with a 15% deposit, the equity from a parent's home would need only be 5%, because there is no mortgage insurance once there is a 20% deposit.
The "pledge" portion can be removed once you have 20% equity in your home in your own right (the value of the home has increased and the loan has decreased) after some time.
My office in Baulkham Hills is basically at the top of Seven Hills Road, so feel free to call to arrange an obligation free appointment to chat about the various options.