Bank makes it harder for investors to secure loans
Following on from yesterdays post about Owner-occupiers getting cheaper loans than investors, today there is an article in Mortgage Business around Bank West tightening the lending criteria to investors by placing an 80% LVR cap on new loans.
“These expectations aim to ensure sustainable growth in the home loan investment sector to protect both investors and the home loan market.”
The article goes on to explain that a further 9 banks (including NAB) that are experiencing growth in investor lending at higher rate than APRA desires. I would expect to see more news in the comming weeks about tightening of lending to investors.