With house prices rising and serviceability constraints biting, why aren’t more brokers recommending lenders mortgage insurance? A new broker survey reveals all.
Lenders mortgage insurance (LMI) provider Helia, in conjunction with the Mortgage & Finance Association of Australia (MFAA), has released new research showcasing broker sentiment towards LMI.
Lenders mortgage insurance (LMI) enables home buyers to buy a home or investment property without having a 20 per cent deposit.
However, after commissioning CoreData to survey 256 mortgage brokers from across Australia in late 2023, Helia found that LMI is not frequently recommended by brokers.
According to the research, nearly three-quarters of brokers (74 per cent) said that LMI accounts for less than 20 per cent of their business dealings.