Skip to content
Subscriber Only

Why It's Getting Even Harder to Get a Mortgage in Australia

  • Banks tightening lending standards after misconduct inquiry
  • Home lending growth has slowed to levels last seen in mid-80s
Australian Property Slump Deepens as Credit Squeeze Hits Buyers
Photographer: Brendon Thorne/Bloomberg

A deepening credit squeeze is making it harder to get a mortgage in Australia, further dragging down a property market already deep in its worst slump in a generation.

Gone are the days of banks throwing money at homebuyers. Instead they’re tightening lending criteria, after an inquiry into misconduct in the finance industry heard how lax standards had lumped people with mortgages they couldn’t afford.