how much would we pay per week

[suemp]

hi, we are looking at gettin a place. we would have to borrow approx 160-165 thous over 30 yrs. i dont trust those calculator thingys as they all say different stuff.
also we dont have 20% deposit so how much is the morgage insurance thing? is it a one off payment or weekly?

and THAN we have to consider house and contents insurance. any ideas on that one

thanks muchly

[Zada]

wats morgatage insurance for?
When we brought we borrowed $116K after the 10k first home buyers grant was applied. we had no deposit either.
so for that size loan we were paying $250/week.
Home and contents for say a house valued at 155k + 50k of contents was around $200/year

[Bunnyhugs]

I'd probably call the bank you're looking at going through because it's going to be different with every one of them. That's probably why their calculators are all different.

[2s'nuff]

also we dont have 20% deposit so how much is the morgage insurance thing? is it a one off payment or weekly?

and THAN we have to consider house and contents insurance. any ideas on that one


When you don't have 20% deposit, Mortgage insurance is a one off payment you have to make when you settle. It's not insurance for you (and it will not benefit you in any way if something goes wrong), instead it's insurance for the bank. i.e. they get a payout of there's a problem.

The best thing for H& C insurance is to call around getting quotes from a number of insurers. We pay our monthly by direct debit, that way I don't see the money at all.

[Gumby]

I would love to get a house that cheap :(

[juzzy]

We are going through all of this at the moment.

We also dont have a deposit and i can tell you now it is proving to be very difficult to get a loan.

You will need to have at least 6 months worth of good savings in your bank account. I was told my my mortgage broker and the bank that it needs to be 3% of the amount you want to borrow.

If you dont have any savings history (ie, live week to week off a wage and have trouble saving) they wont consider you for a loan.

At the moment banks will barely even look at you until you have a good deposit and good savings behind you.

Good luck!

[andie_pandie]

Hi Suemp

With regards to the repayments it will depend what interest rate you are on. If you borrowed the whole $165K for example only at a interest rate of 7.5% over a 30yr term you would be looking at repayments of $1154 per month interest and principle repayments.

As mentioned above Mortgage Insurance is a cost that protects the bank not yourself. The Mortgage Insurance pays the bank if the bank sells at a loss based on the premium that you pay.

I have done some rough figures here in QLD and the $14K grant should just about cover all costs associated with getting into a mortgage of around $300k, this does depend on the mortgage insurance cost as this is the greatest cost now that the stamp duty has been abolished for properties under $500K.

If you need specific info you are welcome to PM.

[andie_pandie]

Hi Juzzy

I have at least 5 clients in the last couple of weeks whom are all 100% borrows and have had no trouble whatsoever getting their finance approved.

I think it will depend on which banks etc, also there is a lot more behind it than just savings, it could be length of employment in a job, asset position, current liabilities and many other factors. If you even have one small default on your Credit Report this disqualifies you for a 100% loan.




We are going through all of this at the moment.

We also dont have a deposit and i can tell you now it is proving to be very difficult to get a loan.

You will need to have at least 6 months worth of good savings in your bank account. I was told my my mortgage broker and the bank that it needs to be 3% of the amount you want to borrow.

If you dont have any savings history (ie, live week to week off a wage and have trouble saving) they wont consider you for a loan.

At the moment banks will barely even look at you until you have a good deposit and good savings behind you.

Good luck!