Eligible first time buyers could reduce their Lender's Mortgage Insurance by up to $5,0001.
Like most first time buyers, your first question might be: What is Lender's Mortgage Insurance (LMI)? Don’t worry, RAMS is here to answer all your questions and help you through the process.
What is Lender's Mortgage Insurance?
Lender's Mortgage Insurance is an insurance that protects the lender when the borrower’s deposit is less than 20% of the purchase price of the property. Generally, you don’t need to pay this upfront as it will get added to your loan, however, this means it will add an incremental amount to your repayments and of course the interest you accrue on the loan. The LMI sum depends on a number of variables, including the loan amount and the deposit amount, so it can vary a lot.
How does the LMI reduction help you into your home sooner?
Buying your first home can be challenging. But RAMS is here to help! Whether you’ve been saving hard to reach 20% to avoid LMI or aiming for a lower deposit amount and have been concerned about LMI adding to your loan, our LMI offer could help you into your home sooner.
The details:
This offer is available to First Time Buyers for new Owner Occupier and Investment loans on Principal and Interest repayments. The minimum loan size is $250k. LVR above 80% up to 95% at time of approval. T&C’s and exclusions apply1.
Talk to your local RAMS Home Loan Specialist to find out whether you could benefit from this offer and how much you could save. Fill in the form below and your local specialist will give you a call to help.