Non-major lender ING
Direct has announced changes to its underwriting guidelines relating to apartments and unit dwellings.
In a note sent to mortgage brokers on Friday, ING
announced restricted LVRs on unit dwellings with an internal floor space of less than 60 square metres.
Where a proposed security property has an internal floor space of less than 60 square metres, excluding balconies and car spaces, and is less than 5 years old, the non-major will limit the maximum LVR on the loan to 70%.
In addition, where a proposed security property has an internal floor space of greater than 50 square metres and less than 60 square metres, excluding balconies and car spaces, and is older than 5 years, ING
will limit the maximum LVR on the loan to 80%.
According to data from CoreLogic, there are 92,102 new units set for completion over the next 12 months with that figure rising to 231,129 over the next 24 months. Sydney and Melbourne have the greatest increases in stock over the next two years, with 81,696 and 80,503 units to be completed respectively.
was contacted by Your Investment Property
's sister publication, Australian Broker
to comment on these changes but declined to comment further.
With interest rates at their lowest for more than 50 years, there are some great rates available. The best thing to do is to compare rates from all the lenders. Let us help take the leg work out of doing this - Compare Home Loans now
Top Suburbs :
Get help financing your investment
Do you need help finding the right loan for your investment?
When investing in property, it is important to make sure that you not only have the lowest available rate that you can get, but also have the correct loan features for your needs.
Just fill in a few details below and we'll then arrange for a local expert Aussie Mortgage Broker to contact you and work out what features or types of loans are right for your needs. We'll even help with the paperwork. Plus, our mortgage broking service is at no cost to you.
We value your privacy and treat all your information seriously - you can check out