| Aspect | Details |
|---|---|
| Customer | Tucker Molle And Lambie Molle |
| Broker | Vivienne Than |
| Purpose | Refinance land plus construction, Investment Property |
| Loan Amount | $796,096 (Land), $588,514 (Construction) |
| Security | $1,600,000 |
| LVR (Term) | 88.37% including LMI, 30 years |
| Interest Rate | 7.15% |
| Features | Interest only, Extra repayments, Redraw, Offset |
| Income | $142,819 (Lambie), $137,522 + $11,153 bonus (Tucker), $49,400 (Projected annual income from the property.) |
A Dream On Hold
Tucker and Lambie Molle, a young married couple with one dependant and a baby on the way, found themselves in a difficult financial situation. In 2022, they had purchased a vacant plot of land, intending to build their dream home. However, their plans were derailed. Lambie was on maternity leave, which reduced their ability to save up enough for a deposit. They urgently needed a construction loan to begin building their home, but they were already stretched thin by paying rent and also the mortgage repayment on the land. Additionally, the land’s value had decreased since its purchase, narrowing their loan options further and making it difficult to secure the additional funds they needed.
A Helping Hand
Home Loan Experts Senior Mortgage Broker Vivienne Than truly came to the rescue when Tucker and Lambie found themselves in a tight spot. She knew that refinancing their existing loan and releasing equity from the land was essential. She worked tirelessly, negotiating with a suitable lender to secure a construction loan at a 90% Loan-to-Value Ratio (LVR).
Vivienne’s dedication paid off. After numerous back-and-forths with the lender, she successfully obtained formal approval, just in time. This approval allowed Tucker and Lambie to start construction on schedule, sparing them from additional fees that would have come with delaying the tender. Vivienne’s expert handling of the equity release ensured the Molles had some extra funds for other personal needs, easing the financial pressure on them.
Crunching The Numbers
One of the major challenges was Lambie’s maternity leave, which had a large impact on their financial profile. Vivienne took a strategic approach to calculating their income during this period. Lambie’s employer would provide $83,311 in maternity leave income, which was factored into the loan serviceability at 90%, equating to $11,901 monthly for seven months. Additionally, income from Centrelink was calculated at $883 per week for 18 weeks, totalling $15,890, also considered at 90%. Despite a small total deficit of $2608 during the maternity leave period, Vivienne demonstrated through two servicing calculators that the couple would have a surplus both during and after the leave. To cover the repayments during this period, they needed a total of $23,000 in savings, which was evidenced in the savings statement provided.
Building The Dream Home
With their dream hanging by a thread, Tucker and Lambie Molle had been on the verge of giving up hope. But thanks to Vivienne’s expertise, everything changed. Just when it seemed like time was running out, Vivienne was able to secure them a formal loan approval just in time to meet the tender deadline, avoiding additional fees. The approval allowed them to commence construction on schedule, ensuring their new home would be ready before their baby’s arrival.
We Can Help You
When life throws you curveballs, we’re here to help you keep your dreams on track. At Home Loan Experts, we’re more than just mortgage brokers; we’re your partners in turning challenges into opportunities.
Call us on 1300 889 743 or fill out our free online assessment form – because your dream home is closer than you think.