08 Sep Focus only financing the nice, the crappy plus the unsightly (area one to)
It has got meant you to definitely lenders are cutting their percentages of great interest-simply loans also increasing interest levels for new and you will established attract-simply borrowers. It is just like the a result of APRA's rules to attenuate all the attract simply financing so you can within this 31% of all the fresh loan requests acquired of the loan providers. While the we have composed before, this got got to more than forty% of the many this new applications and also the regulators have experienced their inquiries by the community conditions.
The good
Just before We begin, I need to disclose which i accept that merely dealers is fool around with focus-merely money unless you can find mitigating items i.e. you intend to keep the house once the an investment once you flow once more in the future for example.