• The place to find the right expertise and make better decisions
  • Find the right expertise
Eddie S.
Eddie S.
Essendon, VIC
3 Likes
1 Followers

Hi, we have 90k in the bank and found a house we want to buy for $710,000. The bank will lend us $639,000 but we would like to spend about $15-20,000 as soon as we move in. Is it possible to get a loan with only 5% deposit and cover the stamp duty. My income is $82,000 and my wife is $75,000, thanks?

6 years ago

Responses

Hi Eddie,

Congratulations on your hard work to put together a $90k deposit.

I am a mortgage broker specializing in loans for home buyers. Looking at the figures you have provided it may be possible to proceed as you have suggested. However, there are a lot of other variables that need to be considered.

I am more than happy to arrange a Free no obligation meeting with you to discuss your situation and provide you with all of the options you have.

If you are interested please feel free to contact me at + 61 43 115 6001.

Kind regards,
Jacqui Milway
Mobile lender Keysborough
Jacqui@mobilelender.com.au

Hi Eddie,

Yes you can absolutely can do this.
We can capitalise the LMI and bank can lend up to 97%. If you are a first home buyer you get reduction in stamp duty.
Please contact me and we can arrange a home loan for you.

Regards,

Aviit

Morning Eddie,

Congratulations - its an exciting time when you locate a property that you want to purchase - As you know, your lender has approved you at 90% on that purchase of $710k.
I have take the liberty of analysing a few of the important aspects that you would probably want to know upfront. The first being the cost of the property deposit & stamp duty - As this will be taken from your $90k.

- Stamp Duty - would be around $37k (First home buyer concession in stamp duty would see it reduced at around $27,5k)
- Deposit - 5% of purchase price would be $35,5K
meaning the total you would require to complete the purchase would be $72,500

This COULD see you with around $15-$17k following settlement. So sounds like it COULD work. . .

If we then do a simple calculation on your serviceability (your ability to repay the loan in line with the banks policy) and ONLY using the information you have provided - It appears you would be able to service a loan with a number of different lenders.

Of course - this is indicative and a full assessment of your financial position would be required before an application would be submitted and any exchange to take place -

Its pretty easy for us to do over the phone or you can shoot me your details and I can prepare that analysis for you really quickly.

That way you can get a guide about where to go and make a decision about the best way to proceed.

Thanks for investing the time to ask this question.

Regards

Craig

Hi Eddie,
Very exciting times for you!

As Jacqui and Craig have said, there are many more questions to ask before we can say whether you would be able to do what you propose.
Do you have any dependents?
Do you have any other debts?
What are your current monthly expenses and what do you expect them to be when you live in your home?
I would strongly suggest that you do sit with a broker and discuss all of your current finances and what your future goals and needs are.
Great brokers are looking to work with you for the next 15 years not just “sell you a loan”
Best of luck with the home
Cheers

Scott

Hi Eddie,

As other respondents have indicated, is is most likely possible to do what you want to do and keep some money aside for renovations etc when you move into your new property. However, as you will now be borrowing more, the cost of your Lender's Mortgage Insurance (LMI) will rise.

The most important think to do is for me to meet with you and to obtain a more complete understanding of your financial situation. I would then be in a position to make recommendations as to which lenders would be most suited to you and be able to discuss with you how this could work. One thing that any broker can offer you is a choice of lenders whereas your existing bank can only offer you one product - theirs!

Let me know if you want to take this further and we'll set up a time to get together.

Cheers,

Michael Budge
Director
Bayside Finance Group
M 0418 54 7337
E michael@baysidefinance.com.au

Your Answer

If you wish to include a video or audio response, you can do this by including links to Youtube, Vimeo or SoundCloud (https://www.youtube.com/watch?v=xxxxxxxxxx OR https://vimeo.com/xxxxxxxxx)

<% error.message %>