First home buyers will now find it easier to get a loan, and perhaps to borrow more money.
Until now, lenders have had to assess a borrower’s ability to repay by using a hypothetical interest rate of 7%. This has now been changed to an extra 2.5% over and above the agreed loan rate.
Considering the recent RBA (Reserve Bank of Australia) significant rate reduction, already record low interest rates and now APRA’s serviceability changes, allowing more borrowing, many experts believe it is a great time to borrow.
Call me on 0410448680 to help you with financing your first home.