Despite recent changes made to home loans for retail property investors, one non-major bank has retained its current settings in place for SMSF property loans.
A spokesperson for Heritage Bank confirmed that while the loan-to-value ratio limit has been increased from 80 to 90 per cent for investment loans for retail investors, it remains at 80 per cent for SMSF loans for residential property and 65 per cent for commercial property.
David Ure, Heritage Bank head of third-party channels, said the changes to its investment loans reflected the company’s “determination to ensure sustainable growth in the home loan and investment sector”.
“This change will allow Heritage to continue to grow within the bounds of the 10 per cent guidelines imposed by [APRA],” Mr Ure said.
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