Serviceability Rate

Discussion in 'Loans & Mortgage Brokers' started by sumterrence, 10th Jun, 2019.

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  1. sumterrence

    sumterrence Well-Known Member

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    Hi guys,

    Just wanted to start a thread of speculations on when banks will loosen their serviceability rate.

    I have heard rumours that very soon one of the big4 is going to move below 7%?
     
    sumterrence, 10th Jun, 2019
    #1
  2. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    most will move to sub 7s, when APRA releases the grip on APG223

    and we will have APG 224 :)

    when ?

    ring APRA perhaps

    ta
    rolf
     
    Rolf Latham, 10th Jun, 2019
    #2
    Scyth and wilso8948 like this.
  3. David Shih

    David Shih Mortgage Broker Business Member

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    Location:
    Sydney
    Some smaller players have already started dropping to 7%.

    Auswide Bank has changed this last week and now assess new & existing debt at 7% (from 7.25%). Bank First have also reduced their buffer rate from 7.5% to 7.25%.

    Should be interesting next couple of weeks for sure.

    Cheers,
    David
     
    David Shih, 11th Jun, 2019
    #3
    sumterrence likes this.
  4. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    Location:
    Gold Coast (Australia Wide)
    if its not sub 7, its not real :)

    BY that I mean 7 % is still within the ring fence of APG 223

    sub 7s will see lenders take their own responseability, watch ASIC line up at the door :)

    ta
    rolf
     
    Rolf Latham, 11th Jun, 2019
    #4
    EN710 likes this.
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