Banks are becoming less free and easy with their investor home loans, and that could cool the property market a little and give the RBA less reason to lift interest rates.

Many banks, including the big four, have tightened their guidelines for lending to housing investors, either making loans tougher to get or more expensive.

BIG BANKS’ CHANGES TO INVESTOR LOANS
ANZ
– No interest rate discount for new property investors without  an ANZ owner
– occupier loan
COMMONWEALTH BANK
– 80pct loan-to-valuation cap for investor loans (Bankwest)
– Reduced rate discount for new investors
– Removed $1,000 rebate for new investors
NAB
– Reduced rate discount for new investors
– Exited investment lending to self
– managed super funds
WESTPAC
– Reduced rate discount for new investors
– Stricter loan criteria for ‘non-resident’ home lending
“Now more than ever Mortgage Brokers will play an integral part in informing their clients of different parameters in mortgage lending.” (David Mortgage Broker Randwick)
(Source: Moody’s & Sky Business News)