ANZ today announced an expansion of its Low Risk LMI Waiver Policy. The changes will see an additional 15 postcodes added to the list of locations which qualify for the exemption. We first reported news of the policy in May this year and noted at the time that this was among the first LMI waiver policies in the market that wasn't profession based.
Commenting on the changes, Esho Capital Founder & CEO Peter Esho said "...the expansion of the LMI Waiver policy means it's here to stay and likely to expand even further in 2025 as banks look to develop niche offerings to win marketshare from their peers..."
In a note, ANZ said the new changes will be effective from December 9. It went on to say "...waiver appetite and may further assist eligible customers looking to purchase or refinance, including where they seek to access any available equity. Eligible customers will be able to avoid the need to pay for an LMI premium, thereby reducing their required contributions towards their property purchase. All other policy criteria remains unchanged..."
The changes come as house prices start to moderate across Sydney and Melbourne after consecutive interest rate rises since 2022. In a recent note to clients, Esho Capital maintains its view that the RBA is likely to consider changes from February and March next year as economic data softens and inflation comes back into the target band range.
To find out which 15 new suburbs are being added to the ANZ Low Risk LMI Waiver program, connect with the Esho Capital team and one of our investment advisors will guide you through the product offering.
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