Like Tree24Likes

15 verses 30 year mortgage - pros and cons.

Closed Thread
Page 5 of 5 FirstFirst ... 2 3 4 5
  1. #41

    Join Date
    May 2021
    Posts
    1,733
    Quote Originally Posted by billyb:
    Yea I understand that, but if you signed the usual form when viewing the prop agreeing 1%, u can't really resile from that after? If you go to another agent and sign the purchase with them at 0.5%, your old agent comes to you asking for the 1% so you pay 1.5%?

    Genuinely trying to work out how to do this...

    Also i guess its difficult to try this when you're getting a good price on the property anyways and you want to seal the deal? Wasting time on agent fee negotiations, you might be gazumped?
    if you sign the form with 1% before hand then you are screwed anyway and why even consider about buying through another agent if you saw property through first agent? Tell the agent before signing you will only pay 0.5%, thats the usual practice, if he doesnt agree then move on and find another smaller agent.

    Also do not confuse property price negotiation with agent fee, paying full 1% guarantees nothing, agent would still side with vendor because higher the price-higher the fee.. On the flip side, if you start with 0.5% and negotiation is stuck, you could increase your commission to incentivise agent to tilt on your side.. End of the day price of the property is what you are willing to pay so dont let agents run over you, they are double desperate than you to make that transaction through..

    Extra rant..
    Most of them are scumbags, hardly do anything except bit of legwork and create FOMO, zero post-sale service and the list goes on..
    Last edited by ndt; 31-03-2023 at 03:13 PM.

  2. #42

    Join Date
    Sep 2014
    Posts
    200
    Quote Originally Posted by billyb:
    For a new 5.8m property purchase, the MIP shouldn't be huge. And you do get discounts on the publicly listed MIP rate based on your salary/job etc - so even cheaper.

    If you are looking to rent the property out or if you intend to play the "refinancing game" every few years, then MIP might not be for you (MIP is not portable across banks, and you need to pay again for new MIP every refinance).

    Remember MIP can only be applied for when you make a new purchase, and not a refi, so if you want more $$ from refinancing from 60% to 80% you are hamstrung. Take the cash now, deal with the structuring later.

    The MIP can even be financed. The rebate from the bank also approximates approx 50% of the MIP...

    To do a refi on the existing property (with change of owner too?) and to time it all so it works out, sounds like a lot of work (legal fees also) for a 5.8m purchase. There are also more things that can go wrong - the bank funding the new purchase might not approve you for the full amount of the new loan if they also take into account your full liabilities under the old loan being topped up (if you are a joint borrower, they assess you as liable for 100%).
    I will be the borrower for the first loan.

    Wife will be the borrower for the second loan.

    It's the only way it will work out, though I'd prefer to be responsible for the second loan due a few unchangeable facts it's not possible.

  3. #43

    Join Date
    Feb 2009
    Posts
    8,279
    Quote Originally Posted by hk.main:
    I will be the borrower for the first loan.

    Wife will be the borrower for the second loan.

    It's the only way it will work out, though I'd prefer to be responsible for the second loan due a few unchangeable facts it's not possible.
    I think you need to be super quick, stop asking questions, just run and buy any flat you can get your hands on tonight or tomorrow morning at the latest. Prices are up another 1% this week (7.1% since December bottom) and every new thread you create on geoexpat chit chatting with no action is costing you money.

    Prices are guaranteed to go up another 7%-10% in the super short term just to "reset" back to where they should be before all the China lockdown crap. After that, medium-long term, who know if they will start going up and we see real growth or just stay flat, this is a bit of a gamble. But you need to buy something urgently right now to take advantage of the current situation and make millions of dollars in very super short time frame with no risk whatsoever!!!!



    Name:  CCL.jpg
Views: 98
Size:  41.7 KB
    periphery831 likes this.

  4. #44

    Join Date
    Sep 2014
    Posts
    200
    Quote Originally Posted by bdw:
    I think you need to be super quick, stop asking questions, just run and buy any flat you can get your hands on tonight or tomorrow morning at the latest. Prices are up another 1% this week (7.1% since December bottom) and every new thread you create on geoexpat chit chatting with no action is costing you money.

    Prices are guaranteed to go up another 7%-10% in the super short term just to "reset" back to where they should be before all the China lockdown crap. After that, medium-long term, who know if they will start going up and we see real growth or just stay flat, this is a bit of a gamble. But you need to buy something urgently right now to take advantage of the current situation and make millions of dollars in very super short time frame with no risk whatsoever!!!!



    Name:  CCL.jpg
Views: 98
Size:  41.7 KB
    Haha, I am taking action behind the scenes. Paid a solicitor to start the name removal process. Met with bankers to confirm whether my plan is workable etc. Unfortunately, there isn't really much I can do to speed up certain parts of the process - definitely don't want to sign an agreement to buy a property without knowing whether we can remove my wife's name and successfully top up that mortgage. Because without this step everything else falls apart. Once first mortgage is approved we will make serious offers. Trust me, I would have signed a deal yesterday if it were feasible.
    bdw likes this.

  5. #45

    Join Date
    Sep 2022
    Posts
    1,371
    Quote Originally Posted by hk.main:
    I will be the borrower for the first loan.

    Wife will be the borrower for the second loan.

    It's the only way it will work out, though I'd prefer to be responsible for the second loan due a few unchangeable facts it's not possible.
    Are you doing the refinance/topup for the 1st loan for the required downpayment on the new property? Sounds like you're decided on this structure tho I was wondering the same - given you can consider 15yr tenor, rough estimate, you should be able to get up to 90% loan directly on new place if it's your first property, without involving any of wife/family home, MIP cost one time payment ard HK$260k.

    30 yr or 15 yr - remember the monthly payment you make, which will be higher if you took out a 15 yr loan will count towards that debt ratio for future mortgages/debt you might want to apply = you get less room to play with next time..

Closed Thread
Page 5 of 5 FirstFirst ... 2 3 4 5