WHO IS ELIGIBLE FOR WAIVED LMI?
High income earners and some specific professionals can get LMI waiver on loans.
EXAMPLE OF SPECIFIC PROFESSIONALS:
Doctors, Accountants, Lawyers, Mining Specialist, Professional Athletes, and Entertainment Professionals, etc.
Doctors
- Maximum loan size is capped. For some lenders it is $4.5 million.
- Maximum loan size is 100% of property value
- Must be a member of the relevant industry organisation
Accountants, Lawyers, Mining Specialist, Professional Athletes, and Entertainment Professionals
- Maximum loan size is capped. For some lenders it is $2 million.
- Maximum loan size is 90% of property value
- Must be a member of the relevant industry organisation
Defence Housing Australia (DHA)
Some lenders offer 90% waived LMI when buying DHA property. And you don’t need to work as a specific professional.
105% LOAN WITH NO LMI
- Borrow up to 100% of property value plus stamp duty
- Must have guarantor who is related to you and own property in Australia
- No need for deposit
- - No need to be in a specific profession
$1 LMI FOR FIRST HOME BUYER
- Effective from 13 Jul 2020
- Must be first home buyer (if joint application, one of borrower must be a first home buyer
- Maximum loan size: $850,000
FIRST HOME DISCOUNT
- Some lenders deal with mortgage insurance company to offer 8-15% discount on LMI premium.
- Some lenders offer special rate for first home buyer or for 95% home loans.
WHY DO LENDERS ACCEPT SPECIFIC PROFESSIONS?
- Credibility of their profession
- Unlikely to default in their mortgage
- Generally, make repayments on time
- Borrow more than other professions in term of loan size