Home Loans & Mortgages

Before the Global Financial Crisis, mortgage managers and non-bank lenders the were writing around one in six home loans.
More importantly they were a threat to the major banks that kept their mortgage rates low. This means that even if you did not have a mortgage with a non bank lender, you rates were low just because they were there with an offer.
Now the non-bank mortgage market is down to one in 50 home loan written.

That brings up a few questions for the Prime Minister.

So Julia Gillard, how will you sort out this mess? In particular….
How will you overturn the ability of the banks to bleed the “hard-working families” white and take most of their pay packets through high margins?
How do you plan on stopping the coming wave of foreclosures and the homelessness of hard-working Australians?
How will you keep the non and bank mortgage sectors apart and return then to a truly competitive picture to reduce interest rates.
How will you ensure that a new raft of mortgage players can easily enter the mortgage market to drive down interest rates?
If the HSCB bank in the UK can provide mortgages on a margin of 0.49%pa why do our banks need a margin over six times that amount?
When will Labor stop encouraging in anti-competitive behaviour?
How will you break the Big Four Bank Cartel?

The Commonwealth Bank Of Australia is the first bank in Australia to denounce the no deposit loan as not meeting their new tightened guidelines. But will that eventually come back as jingle mail to haunt them if other lenders won’t refinance their bad loans?

Home Loan Lenders want the law changed to capture more of your financial details. Here’s a test of just how savvy a consumer you are: when was the last time you checked your credit file? For most of us, the answer would be never. Many people probably don’t even know there are two credit bureaus [...]

The Commonwealth Bank of Australia [CBA] has just dropped the home loan rate on its recently introduced ”no fee” home loan offer to 7.11% in response to other major players offering deep discounts in order to attract home buyers and mortgage refinance customers in a slow mortgage market.