From The AFR:
Macquarie Bank is planning to hit the brakes on lending to high rise and high density apartment dwellings in up to 120 postcodes around the nation amid growing fears about falling demand and oversupply. A confidential memo from the bank to brokers announces that from May 23 it will require a maximum loan to value ratio of 70 per cent, which means buyers will have to stump-up another 10 per cent deposit…
Leith van Onselen:
Macquarie’s latest actions, of course, also follows curbs by other major lenders aimed at mitigating exposure to high-rise developments, including:
- tightening of lending criteria….
- increased mortgage rates for investors; and
- refusing to lend to overseas buyers…..
Every tightening of criteria by Australia’s mortgage lenders represents another nail in the high-rise apartment boom’s coffin.