APRA’s seasonally adjusted figures show they are at about 10% at the moment – so it’s more a precaution against strong growth rather than a reaction to it

It is a measure to ensure the market doesn’t get speculative, rather than slowing the market down

Sydney is the only market that is at risk with houses growing by 15.5% in the last year (RP Data)

Melbourne grew by just 8% last year according to RP Data, hardly worrying levels.

So how does this concern you?

Lender policies have tightened in the investment space – reduction of maximum LVR’s, tiered interest rate concessions for investment loans, restricted interest only facilities for owner occupied loans, and a tougher stance for assessing affordability.

Some banks have slowed down or stopped lending to SMSF’s.

It is likely that non-bank lenders will present as competitive options to the ‘Big 4’.

Shopping around for suitable pricing concessions, borrowing capacity and loan structure will be a critical step for investors.

The changes aren’t uniform across all banks, so it is now more important than ever to seek the professional advice of a Results Home Loans Broker by calling 03 9569 5676

FIND OUT MORE ABOUT INVESTMENT CHANGES