More and more borrowers are looking beyond the big four banks.
According to mortgage brokers AFG, non-major lenders doubled their share of fixed rate loans between March and September this year. Next tier financial institutions now hold close to 30 per cent of the market.
Although major lenders are still the largest beneficiaries of investor activity, AFG says the mortgage market is competitive and borrowers are the clear winner. In other news – new laws are making child safety a strata management issue.
Legislation recently passed by the New South Wales Parliament enforces body corporates to have safety devices installed that allow windows to open no more than 12.5 centimetres when the lock is engaged. Strata bodies will need to conduct audits and have the devices in place by the 13th March 2018. And finally it would appear that when it comes to buying real estate, purchasers are ruled more by their heart than they’d like to admit.
Despite most property purchasers believing they’re highly analytical when it comes to investing, research from the Commonwealth Bank shows the vast majority are swayed by emotions and most probably don’t even realise it.
Executive coach and clinical psychologist Dr Tim Sharp probed the emotions of 1000 property buyers, and it turns out a whopping 37 per cent are swayed by “the vibe” of a place, with another 22 per cent likely to buy based on what they see as an “instant attraction” to the property.
21 per cent of buyers will also be influenced by a sense that the home suits their personality. Sharp says nearly half of respondents admitted to paying more for a property, simply because they really like it, so it appears property investors are true romantics after all.