The Scenario
A long-term Westpac client wanted to take advantage of the 0% Good Energy Loan to purchase an EV. They had strong income and a solid repayment history. However, when they went direct, the bank declined the application based on an LVR (Loan to Value Ratio) restriction. The clients were ready to give up on the dream - until we took a look.
The Problem: Outdated Data
The bank was relying on an valuation from three years ago when the property was first built. Because the bank hadn't prompted the clients to update this data, the "on-paper" equity didn't reflect reality. The clients assumed the bank’s calculation was final.
The My Mortgage Strategy
We didn't just accept the decline. We ran the calculations based on current market trends and realised there was a massive gap between the bank's records and the home’s actual value.
The Advice: We recommended the clients get an updated Registered Valuation.
The Result: The valuation uncovered an additional $200,000 in equity that the clients didn't even realise they had.
The Outcome
By correcting the valuation, we secured the 0% interest energy lending.
Cashflow Win: Instead of dipping into their offset account (effectively costing them a 5.5% floating rate), they are now borrowing at 0% for three years.
Savings: This simple fix is saving them approximately $1,000 per year in interest alone, plus the added value of the EV and extra funds for other bits and pieces.
The Verdict
By providing a clear roadmap, the clients gained a better understanding of the specific actions they could take to change their situation. This clarity empowered them to make an informed decision, giving them the confidence to move through the process and ultimately secure the exact result they wanted.
Don’t let a "no" be the final word - get the expert second opinion you deserve.
If you’ve been told "no" recently or you’re simply want to understand how much equity you’ve really built up, we’re here to help. We’ll provide you with a clear roadmap of the actions you can take so you can make an informed decision and get the results you’re after.
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