Low Doc Loans LVR change.
The maximum LVR on Westpac Low Doc Loans will be reduced from 82% to 80%, effective Wednesday 20 January 2010.
This change will also apply to existing customers that have low doc loans that need to be re-originated as a result of a top up.
If a customer pays the mortgage insurance separately (or upfront) the total low doc loan amount will still be 80%
RAMS Low Doc Loans will be a maximum of 80% including mortgage insurance from Thursday 21st January 2010
As a footnote to the above, Westpac and many of the major banks are now requiring BAS statements with their low doc loans. Given this requirement for BAS, is this really a low doc loan? There are still alternative low doc lenders out there at 80% for both purchases and refinances that do not need BAS.