“The bank regulator”

ByGeorgia Holland

APRA “the banks regulator” yesterday moved on the serviceability rate floor changes I have been speaking about. They have come up with a new minimum rate floor of 2.5% above the delivery interest rate – up to the discretion of the lenders. As you are aware most lenders are currently using 7.25% floor to determine borrowing capacity.

As this has only just been announced yesterday it might take 2-3 weeks for the banks to formulate their responses.  Please click the link for a news article that goes over the potential magnitude of these changes to borrowing capacity showing some examples.

Based on this change, combined with the two consecutive rate drops, re election of the government (capital gains tax policy & negative gearing policies as is) and the tax package passed in full this week – there are many positive things to support the property market.

For further financial information click here 

Up to Date

Latest News

  • Auction Collective

    A glimpse into our most recent auction evening, over 40 registered bidders, 100 spectators and 7 homes sold! To see what we could do with your property get in touch 4385 8888

    Read FullPost

  • White Report – September 2019

    WHITE REPORT – SEPTEMBER 2019 This is more like the Spring we know and love! September 2019 was a welcomed return to much healthier activity as the housing market made further progress in its recovery. Sales volumes are up for the third month in a row, all our auction metrics … Read more

    Read FullPost