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Major bank tightens lending policies for new homes

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Australian Broker | 12 Aug 2015, 08:09 AM Agree 0
Buying a block of land or house off the plan is set to become more difficult as Australia’s biggest bank makes changes to how it will finance people looking to do so
  • Tony Broker. | 12 Aug 2015, 09:43 AM Agree 0
    I suggest CBA just shut the doors.
  • V. | 12 Aug 2015, 10:19 AM Agree 0
    Shouldn't blame the bank, it should be the relevant authoritative bodies who approve and give title to the land to improve their turnaround times.
  • Risky Business | 12 Aug 2015, 10:42 AM Agree 0
    There needs to be change to stop developers off the plan contracts requiring UNCONDITIONAL finance approval BEFORE lots are registered or builds are materially completed. Valuations are not standing up because of inflated commissions with Lenders only prepared to honour a FULL approvals for around 90 days many purchasers are at risk with their deposits when valuations come in short.
    Long dated off the plan contracts seem to be at odds with NCCP obligations
    Its not Lenders who need change, its the developers & contract law.
  • Coast Broker | 12 Aug 2015, 12:24 PM Agree 0
    Nothing new there with the CBA. This started about 4 months ago with the CBA. Had one application going through the ANZ and one through the CBA to buy land and build for 2 first home buyers and the ANZ loan was approved quicker as the CBA were not to prepared to approve their application until the land subdivision had been completed.
  • Tones Broker | 12 Aug 2015, 01:01 PM Agree 0
    CBA doesnt want to lend anymore I think, let alone think of the poor broker trying to obtain finance with the obstacles now put in place every day and nearly every week.

    Never deal with them for this reason.
  • Michael Kent | 12 Aug 2015, 05:12 PM Agree 0
    Yeah you have to feel so sorry for the CBA only making 9000 million dollars profit last financial year. Of course they have to be cautious!
  • Dan Isaak | 12 Aug 2015, 08:17 PM Agree 0
    As of the 12th Aug 2015, the Commonwealth Bank Of Australia has 9.1 billion reasons to start cherry picking lol. Its called balancing a ship,, all should be aware of market trends taking advantage while doors are open before they shut again. No gravy train stays open forever :-)
  • CP | 18 Aug 2015, 10:49 AM Agree 0
    Agree totally with Risky Business - land developers seeking unconditional finance 12 months away from titles issuing is a major risk to anyone thinking of buying land - this needs to be addressed by the HIA / REIV etc immediately
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