Do you think the property market in NSW is too HOT!!….The banks think so and the average house price in NSW has jumped 16% in the last 12 months. The banks have recently changed some of their policies for assessing home loans particularly with investment loans and in some instances will only lend to 80% of the value or purchase price of a property. They haven’t done this to make life harder for home buyers or investors but have done it to assist “cool” are very hot market which in real terms, helps us all and the market as eventually, home prices will either plateau or fall and by doing this, the banks are allowing any fall in the market to be cushioned.
Our banks are very strong in comparison to overseas banks and continually practise prudent lending guidelines. If you have a pre-approval and want to discuss any changes that may affect you, please call or if you’re thinking of buying a home, call in and discuss what the recent changes mean to you”