Home News AMP hits investors with higher interest rates

AMP hits investors with higher interest rates

Font size :



AMP Bank is the latest lender to hit property investors with higher interest rates and tighter borrowing restrictions, following APRA’s clampdown on the Australian property market.

The bank said variable interest rates for new and existing investment property loans will increase by 35 basis points.

For all new investor property loans, the maximum loan-to-value ratio (LVR) will be reduced to 50%. This change applies to all new loans with an investment property as security, and includes loans to self-managed super funds (SMSFs).

The changes to interest rates will be effective from June 23 for new customers and from June 26 for existing customers. The LVR change will be effective from June 21 for new investment property loans and July 1 for SMSF investor loans.

“These measures are needed to ensure we operate within our regulatory obligations,” said Sally Bruce, AMP Bank’s group executive. “We are managing our loan book in a very active market and these changes follow recent shifts in competitor activity. We will continue to take the necessary steps for sound management of our regulatory requirements.”
 

With interest rates at their lowest for more than 50 years, there are some great rates available. The best thing to do is to compare rates from all the lenders. Let us help take the leg work out of doing this - Compare Home Loans now

Mortgage News and Articles

Many millennials are relying on an inheritance to buy homes Many millennials are relying on an inheritance to buy homes

Lawyers are seeing cases where disputes over inheritance have created tensions within families Read more

Gen Y homeowners fearful of interest rate rises Gen Y homeowners fearful of interest rate rises Many are worried rising interest rates will negatively impact their cost of living expenses, according to a new survey ... Read more

Young Sydneysiders are less keen on homeownership Young Sydneysiders are less keen on homeownership Many would rather ‘rentvest’ than be tied down to a costly owner-occupier mortgage, according to new studies ... Read more

New social housing aims to transform Ivanhoe Estate New social housing aims to transform Ivanhoe Estate The sprawling redevelopment aims to boost the supply of affordable housing in Sydney ... Read more

More mortgage news and articles

Sponsored Links

Wednesday, Aug 23, 2017
Top Featured Rates
Top Bank Rates

Get help choosing the right home loan

Let us help you find the right home loan for your needs.

Tell us a bit about your circumstances:
  • Purpose of mortgage
  • Household Income
    $
  • How much do you want to borrow?
    $
  • How much deposit do you have?
    $
  • How much is your house worth?
    $
  • How much do you still owe on your mortgage?
    $
  • What type of mortgage do you have?


  • How much is your new home?
    $
  • How much do you want to borrow?
    $
  • How soon do you want a mortgage?
Next
  • First name
  • Last name
  • Where do you live?
  • Phone number

Special Offers

Related Keywords