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if you have an investment property or an interest only home loan - this may impact you

You've probably already heard that there has been a crack down on investment lending, influencing many lenders to increase interest rates. This has left many people asking

why & how does this affect me?

What's Happened?

The Australian Prudential Regulation Authority (APRA), has enforced new benchmarks on Australia's lenders. The new requirements, and the reasons behind them, are extremely complicated - but in short, they were imposed in an effort to de-risk the Australian banking sector and slow down the rapid growth in investment debt.

What's the Impact?

Most of the major lenders initially reacted by amending their policies and discounts for future investment property lending. In the last week three of "The Big Four" banks also announced increases to their interest rates for existing investment and/or interest only home loans. The fourth is likely to follow suit shortly.

As your lending specialists, we are closely monitoring the changes which are happening on a daily basis. Please call us directly to discuss how the changes affect your current situation, your future investment goals and the alternative options available to you now.


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