Banks tighten mortgage screw on Sydney leper colony

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“Team Australia” has been breaking apart for some time now as premiers and federalies tear at each other’s throats. The media is enjoying the COVID state of origin. Now the banks have joined in:

  • CBA is tightening leading criteria focussed specifically on any loss of income incurred owing to COVID.
  • JobKeeper-syle payments will not longer qualify.
  • Resimac is specifically targeting the NSW leper colony with COVID questions.
  • Lending delays are lengthening as greater scrutiny is brought to bear.
  • Citi has capped DTIs.
  • More lenders are expected to follow suit, according to brokers.

Looks like this will slow leper colony property prices at the margin.

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About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.