What is Lenders Mortgage Insurance (LMI)?


Lender Mortgage insurance (LMI) is taken out where the borrower does not have sufficient deposit to meet the lenders normal lending criteria. When you are only contributing a small deposit, the lender takes a bigger risk in lending the money and requires a security to take this risk. It is required to protect the lender if the borrower is unable to meet the repayments. No Loan mortgage insurance is required if your LVR is below 80%.  Some lenders will allow you to include the Loan Mortgage insurance in the cost of your loan.


Contact the team at ‘You First®’ to review your current situation and goals, and plan strategy to get into your first home sooner