Credit Changes

Discussion in 'Loans & Mortgage Brokers' started by Shahin_Afarin, 19th Jun, 2015.

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  1. Watson1

    Watson1 Well-Known Member

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    STG following Bankwest and reducing LVR for investments....

    ANZ capping Investment loans at 90% too.
     
    Last edited: 6th Jul, 2015
  2. 4point5million

    4point5million Well-Known Member

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    When will they relax all of this again? Couple of years?
     
  3. tobe

    tobe Well-Known Member

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    Threepointtwoyears.
    Nah, just kidding. Who knows?
    It's only the larger lenders governed by apra, there's plenty of smaller lenders taking up their market share.
     
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  4. Hodge

    Hodge Well-Known Member

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    Bloody Apra has really stuffed my plans up. I'm cashed up but can't borrow. I'm hoping this all blows over in 12 months.
     
  5. tobe

    tobe Well-Known Member

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    Try some of the smaller lenders.
     
  6. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    this too will pass.

    In the meantime find some other way to add value to your resources

    ta
    rolf
     
  7. Hodge

    Hodge Well-Known Member

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    Are many investors turning to the smaller lenders? Are the smaller lenders St George and the like?
     
  8. Hodge

    Hodge Well-Known Member

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    As Pauline Hanson used to say "please explain ".
     
  9. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    find some other way other than cap gain via gearing to add to your growth and income.

    Im not being negative, just realistic.

    with significant structural change in our economy, and no real way to soak up the job losses and income loss from lower commodity demand and prices, APRA must bring on much more draconian controls so that the RBA can lower rates another xx pts to provide much needed oxygen to the economy.

    I think we suggested sub 5 year fixed rates about 3 years ago................... most laughed, yet the data was pretty obvious.

    ta
    rolf

    ta
    rolf
     
  10. Hodge

    Hodge Well-Known Member

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    I agree with you Rolf and see the need for apra stepping in. I just wish they didn't have to go in this hard.

    All I can do while I wait for the dust to settle is pay down debt via offset account. At least I'll be ready to strike when the time comes.
     
  11. Mick C

    Mick C Well-Known Member

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    The smaller lenders are def wining business in this space - Servicing and pricing esp for Investors.
     
  12. Watson1

    Watson1 Well-Known Member

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    STG only doing 80% for investments.
     
  13. Befuddled

    Befuddled Well-Known Member

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    is rental income counted at 100% despite being capped at 6% for serviceability calculations?
     
  14. tobe

    tobe Well-Known Member

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    rental income is usually discounted to at least 80% and some lenders cap the rental to a percentage of the valuation. CBA to 6%.
     
  15. Shahin_Afarin

    Shahin_Afarin Residential and Commercial Broker Business Member

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    Westpac are now at 80% max for IP loans. Normal policy of 97% still applies provided that you have your PPOR with them.
     
  16. tobe

    tobe Well-Known Member

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    wow, that's big stuff....
     
  17. Shahin_Afarin

    Shahin_Afarin Residential and Commercial Broker Business Member

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    Orange is the new black and 80% is the new 95%.
     
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  18. Watson1

    Watson1 Well-Known Member

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    So I guess STG was just following Westpac.

    They are starting to become carbon copies.
     
  19. Shahin_Afarin

    Shahin_Afarin Residential and Commercial Broker Business Member

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    A lot of their assessors are dual trained across St George and Westpac and the idea (from many moons ago) was to align their policies.

    Their credit managers have the ability to view St George loans and vice versa. Next thing you know they will have the same head of third party ;)

    Most of their credit changes are to apply to both businesses with certain exceptions - recent example was Westpac canning NG but St George keeping it.

    St George have got some niche policies so heres to hoping they don't completely morph.
     
  20. Watson1

    Watson1 Well-Known Member

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    Yeh, sometimes when we submit loans to BoM and it needs to be approved by a champion lender, it goes to an assessor who have Westpac emails.

    When I was told BoM were only doing 80% for investment, I had a gut feeling that Westpac would be doing the same. They have been making the same changes e.g 70% for non residents, 7.25% assessment, 3% credit card etc.