Weekly Kaths Credit Crunch 2nd September

Kath’s Credit Crunch 2^nd September 2024

🌟Macquarie: Removing their expat lending policy

Macquarie are removing their expat lending policy. From Monday 9 September 2024 they will no longer accept applications from people who reside outside of Australia. From this date, in addition to the existing eligibility criteria, all applicants must:

• live in Australia
• have a current Australian residential address
• have an Australian mobile number
• be considered an Australian resident for tax purposes.

From 9 September:

• any approval extensions or resubmissions of expat loans won’t be possible
• you won’t be able to edit and resubmit any inflight deals for expat loans
• for existing customers who already have a home loan with us and are living overseas, their loan won’t change. They won’t be able to apply for additional lending, switch from our basic to offset home loan, or add a new borrower while living overseas.

🌟Mortgage Mart/ WLH

Changes to the Ocean/ Ultra SMSF policy.

• Maximum Loan Size Increased to $3.5m.
• Maximum borrower exposure limit has increased from $7.5m.
• Easy Refi with no serviceability buffer required.
• Reduced Serviceability Assessment Rates have been reduced from to 2%.

🌟Bankwest

Update to Off the Plan purchase process

• A Certificate of Occupancy (or equivalent form depending on State) can be accepted to confirm completion of the property, providing the initial As If Complete valuation held includes commentary stating settlement will occur within 90 days from date of valuation.

Improved accuracy for Notional Rent Expenses

Bankwest have added a ‘living with spouse’ option - under Residential Status in the Serviceability Calculator - which can be used when an applicant is living with a spouse who is not a borrower on the application and doesn’t need to have notional rent applied.

🌟Resimac

Prime Alt Doc product to help your business grow!

• Interest only and investment loading waived
• Increased LVR to 90%
• Loan amount up to $3.5m

🌟Pepper Money

• Income verification - Until 14 November 2024, Pepper will accept just 2 years’ notice of assessment to demonstrate income on Prime Full Doc. Check to see if your client qualifies.

🌟Bluestone

• Only require the refinance statements and no other non refinance statements.
• No transaction statements needed for living expenses across all products including Specialist Plus!
• COMPLIANCE NOTE FROM THE BROKERS' BIBLE - just because Bluestone doesn't require the documents does not mean you don't collect them from your client. As a broker, you still have responsible lending obligations AND must comply with your aggregator minimum standards checklist.

🌟ING Commercial

Now allows lending up to 80% LVR for various commercial property types.

• Industrial
• Retail
• Logistics
• Office
• Mixed Use

• Loan amounts between $500K and $5 million
• No requirement for GSA (General Security Agreement) over the client’s trading business
• No annual reviews for loans less than $2 million (some exceptions apply)
• Cashout up to $1 million for any business purpose – no evidence required (maximum 50% of total borrowings).

Other News📢

Big topic of commission and broker remuneration.🤑🫰🫰🫰

Upcoming changes to NAB clawback and trail commissions from 1 September 2024

NAB is updating broker clawback and stepped trail commission on residential home loans. Check with your aggregator

📢 Coffee and Credit Webinar next Tuesday talking all thing Bridging Finance – make sure you register. Complete Deep-dive. Register free below:

https://www.thebrokersbible.com.au/offers/bcpFGzha/checkout

📢Women Supporting Women Event next Thursday 12^th of September where I will be speaking. I have 2 tickets to giveaway – stay tuned on how you can win these!

https://www.eventbrite.com.au/e/colour-me-with-confidence-melbourne-conference-tickets-941809897757?aff=ebdsoporgprofile