Home loan changes boost approvals
CARISSA Gordon was relieved to be buying her first home thanks to an increase in Gladstone home loan ap- provals.
The housing market was off limits for many first home buyers during the recent housing boom but home loan approvals have increased partly due to a change to mortgage brokers lend- ing policy.
Ms Gordon and partner Daniel Welch were well on their way to re- ceiving the keys to their first home and said it had been much easier then expected.
'It's a lot easier these days,' Ms Gordon said.
'We didn't necessarily have the savings, but we had the money.'
City Pacific Finance principal Greg Hill said he attributed Gladstone's in- crease in home loan approvals to a change in lending policy.
"The lending policy has changed a lot,'' Mr Hill said.
'It's making it a lot easier for peo- ple that previously wouldn't have qualified.'
Mr Hill said a very competitive home loan market was driving the changes, including the previous re- quirement for a home buyer to have five per cent of the house price in gen- uine savings.
Independent Home Loan proprietor John Whitten estimated home loan approvals in Gladstone had increased five per cent.
He believed approvals had in- creased for first home buyers, inves- tors and others.
Mr Whitten said many of the ap- provals were due to people shopping around for better home loans rather than extra houses being sold.