Investor loans get breathing room as APRA loosens brakes on housing loan growth

Since 2014, banks have been restricted in growing their investor loans.

The Australian Prudential Regulation Authority (APRA) instated a 10 per cent benchmark on investor loan growth, but now the government organisation stated it has now served its purpose.

“Lending growth has moderated, standards have been lifted and oversight has improved,” APRA chairman Wayne Byres said.

However, APRA will allow lenders  to increase loan growth if they maintain prudent lending standards by meeting three main criteria.

For investors, this may make getting loan approval a little easier. In addition, may help get them better terms and features if this lending relaxation generates more competition among lenders.

If you are thinking of buying a property, or just need some financing information about what is possible for you,  contact elk corp  – we can help you find the right loan solution that fits you.

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http://www.couriermail.com.au/real-estate/queensland/property-investors-are-back-but-baby-steps-says-apra/news-story/1836c855f1dc30e7711bc5ccdcfd32f5?rsf=syn:news:nca:cm:spa