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How to help your clients into their first home sooner

How to help your clients into their first home sooner

One of the biggest hurdles when buying a first home is the time it takes to save for a deposit. That’s why we’ve introduced a First Home Buyer Lenders Mortgage Insurance (LMI) Offer^: 

 

Up to 85% LVR#

Your First Home Buyer client has a Loan to Value Ratio (LVR#) up to 85% at time of formal approval.

Pay only $1 LMI

LMI is reduced to $1.00 during the application stage, which could help your clients into their own home sooner.

Offer eligibility

Owner Occupier first home loans on Principal & Interest repayments. Max loan size $850k. T&Cs and exclusions apply (see below).

Note: the First Home Buyer LMI Offer is not an LMI waiver and your clients will be charged $1.00 LMI which will be reflected in their Loan Offer Documents.

 

 

Winner of Bank of the Year for First Home Buyers

Bank of the Year - Canstar 2020 - First Home Buyers
  • Awarded 2020 Canstar Bank of the Year – First Home Buyers
  • Recognised for offering outstanding value and outstanding planning, application, settlement and management of your home loan.

Details and features of the First Home Buyer LMI Offer

What is the eligibility criteria?

  • Applications must be for a first home loan for a first property (for joint applications, only one applicant must be a first home buyer).
  • Loans with LVR# up to 85% at the time of formal approval.
  • Owner Occupier with Principal & Interest repayment only.
  • A maximum loan size of $850,000.
  • Available for applications submitted from Monday 27 July 2020.
  • Only one property to be financed per application.
  • Existing consumer credit policy applies & subject to approval.

What loans are not eligible?

  • Owner Occupier with Interest Only repayments.
  • All Residential Investment Home Loans.
  • Offer does not include Portfolio Loans.
  • Offer does not include Construction Loans.
  • Offer not available in conjunction with the Family Pledge option. 
  • Residential lending originated under family or company trusts.
  • Switches and internal refinances of home loans within the Westpac Group which include St.George, Bank of Melbourne, Westpac, BankSA and RAMS.
  • Offer does not include external refinances.

 

Important details

  • The First Home Buyer LMI Offer is available on eligible home loan applications from Monday 27 July 2020 and can be withdrawn or varied at any time.
  • LMI of $1.00 will be incurred. Clients must adhere to LMI obligations during the loan agreement. The LMI factsheet will also be issued to the customer along with the other Loan Offer Documents.
  • Clients are not required to be receiving the First Home Owner Grant to be eligible for the First Home Buyer LMI Offer.
  • First Home Buyer Flag must be selected within Apply Online and notes section to include instructions to apply First Home Buyer LMI Offer. For more information about the steps involved, refer to the training pack on the secure portal.
  • Available with Basic Home Loans or Advantage Package1 Home Loans, Fixed or Variable Rate ($395 annual package fee applies on Advantage Package1 Home Loans).
  • This offer does not have an income cap for eligible applicants.

More help for First Home Buyers

We’ve put together a concise guide to help your clients navigate the journey when they are buying their first home.

Download the First Home Buyers guide

 

 

The Detail

Credit criteria, fees and charges apply. Terms and conditions available on request. Based on Bank of Melbourne's credit criteria, residential lending is not available for Non-Australian Resident borrowers.

^ First Home Buyer LMI Offer: Available for First Home Buyers who apply for their first home loan for their first property with loan to value ratio (LVR) up to 85% at time of formal approval. For joint applications, only one applicant must be a first home buyer. Owner Occupier Principal and Interest repayments only. Maximum loan size of $850k. Offer current as of 27 July 2020 and can be varied or withdrawn at any time. Only one property to be financed per application. Excludes Residential Investment Loans, Portfolio Loans, Constructions Loans, switches and refinances of home loans within the Westpac Group which includes St.George, Westpac, Bank of Melbourne, BankSA and RAMS. Offer not available for Owner Occupier Interest Only loans or residential lending originated under family or company trusts. Offer not available in conjunction with Family Pledge option. Your clients’ application will be assessed and once approved, your client will be charged LMI of $1.00. This will be reflected within the Loan Offer Documents. LMI subject to approval and customer must adhere to LMI obligations during the loan agreement. This offer is not an LMI wavier. Lenders mortgage insurance (LMI) is issued to Westpac Banking Corporation ABN 33 007 457 141 (Westpac) by either Westpac Lenders Mortgage Insurance Limited ABN 60 074 042 934, Australian credit licence 388077 a subsidiary of Westpac, or by another LMI insurer. This information does not take into account your personal circumstances. Terms, conditions and limitations apply.

1 Advantage Package: Conditions of Use apply and are available at bankofmelbourne.com.au. Annual package fee of $395 applies. Not available to company and trust account holders. You must either hold or be approved for a Bank of Melbourne transaction account in order to qualify and continue to receive the benefits of the Advantage Package. Applications must also meet our approval guidelines on individual products to qualify for relevant package discounts.

# LVR stands for the initial loan to value ratio at loan approval. LVR is the amount of your loan compared to the Bank’s valuation of your property offered to secure your loan expressed as a percentage. For example, a loan of $400,000 to buy a property worth $500,000 results in a loan to value ratio of 80%. The interest rates below are for new loans.  Home loan rates are set based on the initial LVR and don’t change because of changes to the LVR during the life of the loan.