Perhaps you have heard recently, it was not difficult to get a mortgage from mortgage brokers Melbourne without a deposit in Australia, i.e. a 100% real estate loan. Unfortunately, due to the global financial crisis of the late 2000s, it is usually impossible to get a loan for the entire real estate value, also known as 100% LVR, if this meets very specific criteria.
We will disclose these criteria for you and we will also illustrate some ways to get a mortgage without a large deposit in cash from mortgage broker.
How to Get A 100% LVR Loan in Australia
While the GFC makes it difficult to get a loan for the total value of property, it is still impossible. Of course, this does not mean that you do not have to put something on the table, but maybe you do not need to have money.
Today, the most common example of an unsecured loan is what is called collateral loan: when you use another part of the property as collateral for the deposit. Usually other properties belong to a close relative, such as a parent, and not only can you get a lower interest rate, but also to avoid an important financial deposit without lending mortgage creditors to mortgage broker.
On the downside, of course, is that you really bring your relative or relative along the road with your property. At worst, you say you’ve lost your job because of a serious injury and you cannot repay the money, the bank will first sell the house and turn to the guarantors to cover any deficiencies.
Fortunately, the guarantor should not be a loan for the entire mortgage. As the value of the property increases and the loan is still reimbursed, the borrower may ask the parent to …Read More