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Helpmebuy Property Podcast

How Property Investment, Serviceability Will Impact the Lending Environment in 2024?

Season 2, Ep. 11

The lending environment in Australia's real estate market can feel like a complex maze. With ever-changing regulations, interest rates, and lending criteria, staying informed is essential for both buyers and investors. It is crucial to have a clear understanding of the essentials of the market in order to make right decisions. Our expert Moxin Reza was joined by Chris Raymond from Unconditional Finance once again to discuss the lending environment specifically for year 2024. 


The market is dissected on a variety of factors, including income, credit history, employment stability, and the property's value. With the introduction of responsible lending laws, lenders are now required to ensure that borrowers can afford their loans without suffering financial hardship, leading to more rigorous assessments. 


With the data available, both maestros discussed the expected impact of fluctuating interest rates, global economic conditions, inflation rates, and not to forget the Reserve Bank decisions. Furthermore, the rise of digital platforms and fintech solutions also made it to the discussion. 

The lending environment in 2024 is challenging, with borrowers facing stricter credit policies and reduced borrowing power due to multiple rate rises. Banks are narrowing the gap between rates for owner-occupied and investment lending, making it a good time for investors to review their rates. There are signs that banks are easing their credit policies, such as offering higher loan-to-value ratios and shorter financial history requirements for self-employed borrowers. 


The final verdict was that in this dynamic lending landscape, staying proactive, doing thorough research, and seeking expert advice are essential to counter the complexities and make informed decisions which are in alignment with your financial objectives. 

 

Episode Highlights: 


· 00:00 Welcome To Help Me Buy Property Podcast 

· 02:08 The Current Lending Environment 

· 06:51 Signs of Easing Credit Policies 

· 08:12 Conclusion and Encouragement to Invest 

· 11:35 Expectations for Interest Rates 



Chris Raymond is the principal finance broker at Unconditional Finance, an Australian-based award-winning mortgage broking company. With an enthusiastic commitment to his client’s success, he effectively tailors loans to suit their needs, specializing in property investment, residential, commercial, and asset finance. Driven by the purpose of educating his clients to make informed decisions, he has successfully catered to helping people achieve their financial goals. 

Chris Raymond can be reached out at: 

 https://www.unconditionalfinance.com.au/ 


Resources:

• Visit the Investor Partner Group website: https://helpmebuy.com.au/

• Join us on our FREE Facebook Group: https://www.facebook.com/groups/helpmebuyau  

You can also connect with us at https://www.linkedin.com/company/77080688. For more podcast episodes, subscribe to our YouTube channel at https://www.youtube.com/@moxinreza. 

Empower positiveness, Nurture Your Investments, and Acquire Financial Peace! 

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