Deposit and LMI

You are expected to pay 20% down payment (deposit) of the purchasing price plus closing costs. This is almost impossible for a First home owner, which is why you are asked to pay for the LMI (lenders Mortgage Insurance).

Lender Mortgage Insurance is a policy designed to pay off your mortgage should you default on your loan and the house sells for less than 80% of the value.

Lender Mortgage Insurance is a set figure based upon the amount of the loan, the amount of down payment you are lacking and a specific timeframe to pay on it.

When you reach that 80% mark in remaining principle on your mortgage, you can have the LMI removed.

Depending on certain factors and fulfillment of specific criteria upto 50% of your LMI can be refunded.

Speak to a Golden Touch Consultant today for more information about LMI and we promise to make the entire Home loan process as pleasant as possible.