Oct
17
PMI Mortgage insurance Default, no longer have loan and doing fine, but can’t lend money?
By
In 2005 we defaulted on our Mortgage and was sent a nice letter stating we had 30 days to come up with the arrears otherwise we would go into foreclosure. In that time we took money from my superannuation account as my husband was injured at work (sub-contractor, and had no insurance), the arrears have been cleared, and we have even managed to refinance and get other finance. But now we are looking at getting a rental property and lending approximately 85% of both properties, and now Mortgage Insurance comes into play. We have got the loan for the rental property and now both of us have full time jobs, and earn decent money. But now because of an incident 2-3 years ago which was not in our control, they will not insure us?
Any comments on how to get around this, besides wait until we have enough equity in our existing home?
We need to have approval of finance by mid-May,
Rent Back Fast
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2 Comments
August 18th, 2009 at 11:48 am
yup. do not buy until u can come up with 21% of mortgage.
go back to owners ask if u can get an option to buy at higher price in next 3-5yrs.
work like dogs at race tracks and build up the 21% of new price then buy.
don’t buy anything except on cash. live on budget and work till u can’t then do it agaain.
August 20th, 2009 at 6:52 am
Hi
Some Lending Institutions have their own in house motgage insurers. (Rather than an outside company) Usually they are willing to look at people outside their normal criteria on a case by case basis. The reason for this is they both want to see you get a loan its a common goal for both of them as they are both part of the same company. So maybe check if the people you have applied for the loan through have in house mortgage insurers as if they don’t it may be worth getting a second opinion off another institution who does..
Usually as long as there is a good reason for the debt as well as showing that things have now been rectified they can look to get approval on mortgage insurance for you
Hope this helps