“It’s a reflection of lender risk policy. When risk levels are elevated – which they are – at a time of high interest rates,high household debt levels and high cost of living,it makes sense that lenders would be more cautious in their policies,” Lawless said.
He said despite the downturn in banks offering high loan-to-value ratio loans,first home buyer activity was strong,indicating those who were getting mortgages were doing so with either high incomes or help.