ENS 856 and mortgages
Mar 16th 2013, 5:56 am
#1
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Thread Starter
Joined: Feb 2005
Posts: 53
ENS 856 and mortgages
I came across a few posts from 2010 saying that people were having issues with mortgage lenders insurance and getting their mortgage on a PR ens 856 as they didnt recgnise it as a PR visa. This has concerened me as we are currently buying and only putting up just over 5% deposit so will need this insurance. is this still the case?
Thanks
Thanks
Mar 16th 2013, 7:14 am
#2
Forum Regular
Joined: Jan 2011
Location: Brisbane, Australia
Posts: 92
Re: ENS 856 and mortgages
I came across a few posts from 2010 saying that people were having issues with mortgage lenders insurance and getting their mortgage on a PR ens 856 as they didnt recgnise it as a PR visa. This has concerened me as we are currently buying and only putting up just over 5% deposit so will need this insurance. is this still the case?
Thanks
Thanks
The 856 Visa is fine - the issue you have is convincing the lender that it is actually a permanent resident visa. It clearly is and therefore in policy for most lenders at 95% LVR (ie, with just a 5% deposit). I have had a few cases lately though were I had to really fight to get these approved. Most banks do not understand the migration system and as such, it can take a lot of work to convince them that is what it is.
I won on all cases in the end despite initial declines - and client being declined directly by other banks and brokers.
Bottom line, you should not be concerned. If you have trouble please get in contact with us - www.maphomeloans.com.au
Mar 16th 2013, 7:18 am
#3
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Joined: Feb 2005
Posts: 53
Re: ENS 856 and mortgages
Thanks, we have pre approval from the actual bank, where we submitted all the paperwork, statements etc, I have heard its the lender insurance who dont seem to recognise it. If we have issues what do we do, as we have put the offer on the house already, and its going through the legal stuff now.. We dont want too loose the house.
How did you provide proof?
thanks
Natalie
How did you provide proof?
thanks
Natalie
Mar 16th 2013, 7:23 am
#4
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Joined: Jan 2011
Location: Brisbane, Australia
Posts: 92
Re: ENS 856 and mortgages
Hi Natalie,
Depends on the lender - some lenders provide what I call a "fully verified pre-approval". That is, its checked by them and the mortgage insurer upfront. Others do not, and will give you a pre-approval subject to lenders mortgage insurer approval and sometimes even "the bank checking the application meets their policy". That might sound silly, but 70% of the banks do not do fully verified pre-approvals and often I find myself rescuing loan approvals after clients have been pre-approved and then declined by the lenders mortgage insurer - see http://www.maphomeloans.com.au/lmideclinedmyhomeloan
If you want to PM me the bank, ill let you know if you should be concerned about the approval. Bottom line though, dont stress - you are within policy so you will not lose the house.
Depends on the lender - some lenders provide what I call a "fully verified pre-approval". That is, its checked by them and the mortgage insurer upfront. Others do not, and will give you a pre-approval subject to lenders mortgage insurer approval and sometimes even "the bank checking the application meets their policy". That might sound silly, but 70% of the banks do not do fully verified pre-approvals and often I find myself rescuing loan approvals after clients have been pre-approved and then declined by the lenders mortgage insurer - see http://www.maphomeloans.com.au/lmideclinedmyhomeloan
If you want to PM me the bank, ill let you know if you should be concerned about the approval. Bottom line though, dont stress - you are within policy so you will not lose the house.
Mar 16th 2013, 7:24 am
#5
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Thread Starter
Joined: Feb 2005
Posts: 53
Re: ENS 856 and mortgages
pming you 
