Good Morning and Happy Monday!
This time next week will see things in full swing for the fat man’s return.
Another busy week in the world of finance. 26 more lenders have been announced on the First Home Loan Deposit Scheme (FHLDS). It’s expected that the two majors being NAB and CBA will write the majority of these loans, a great majority of the other lenders are customer owned Mutual’s.
There was some criticism around the reach and effectiveness of some of the mutual’s as many are not on panel for many brokers. I however can fulfil a great majority of the lenders including Australian Military Bank with whom I can also write a DHOAS loan. The full list can be found at the link attached at the bottom of the roundup.
ASIC also released its updated guidance to RG209 on responsible lending. Nothing drastic has really changed from what I currently do, though RG209’s guidance here is more explicit around knowing the client, note-taking and explanations around recommendations.
It also highlights greater understanding from a lenders perspective especially around verifying or re-verifying clients assertions and or data. I think what we can really expect here is that whilst loans currently take longer than what ‘was’ normal this will be the new normal.
This means managing a client’s expectation around how long things will take, as well as managing those clients who have perhaps jumped the gun on buying something and are then in a panic to get it done quickly.
For those that would like some insomnia reading over the break attached below is also a link to RG209.
There were several more articles I read over the weekend spruiking strong auction clearance rates and a strong housing sector. It would seem that the greatest data set was again in the prestige sector. I think it will be February before we see any more of this commentary.
Friday will pretty much be the deadline for settling anything money related, with most solicitors and accountant firms closing till the 6th Jan. While there will be a few days of downtime next week. Banks are still open for business, I can still lodge a loan and get it in queue if any of you need anything.
I hope you all get through this week OK and stay out of the heat this week looks like it’ll be a scorcher.
Scenarios quoted above are suggestions and constitute general advice only.
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