Banks have become more wary about lending to workers in industries hit by the coronavirus outbreak, mortgage brokers say, as the pandemic leads to tighter credit conditions in the $1.7 trillion home loan market.
Banks are being more cautious about how customers' finances could be affected by the coronavirus outbreak, mortgage brokers say.Mortgage Choice chief executive Susan Mitchell said "it's tightening for some". In a sign of banks' greater caution, Ms Mitchell said some lenders were checking customers were still employed days before loans were due to be settled. This is something lenders have always had the legal right to do, but it has not typically happened in the past.
The trends come amid strong growth in refinancing, with wholesale broker AFG on Wednesday reporting a record value of loan applications lodged with banks in March.
clancyyeates Doesn’t apply to hospitality workers ... they never gave home loans to casual workers anyway.
clancyyeates
clancyyeates They have not been lending for months - SMH assisting the coverup until the banks stick their hand up for yet another bailout Wakeup!