How Much Is LMI on a $700k, $800k, $900k and $1m Property?

LMI depends on LVR, not just price

The same property price can produce very different LMI depending on the deposit. A $900,000 purchase at 90% LVR is a different risk from a $900,000 purchase at 85% LVR.

That is why buyers should compare deposit bands before deciding whether to buy now or save longer.

Example bands

For each property price, test four LVR bands: 80%, 85%, 90% and 95%. At 80% LVR, LMI is usually avoided. At 90% and 95%, premiums rise quickly and capitalising LMI can add interest over the full loan term.

Use the LMI Calculator to enter $700k, $800k, $900k and $1m property prices, then compare the deposit needed to stay at or below 80% LVR.

What to compare

• Upfront premium.
• Capitalised loan balance.
• Monthly repayment impact.
• Extra interest over the loan term.
• Time needed to save the additional deposit.

Sources: ASIC Moneysmart LMI guidance and lender LMI rate-card methodology. General information only.