Tighter access to credit for households could pose near-term challenges in some medium and high-density construction markets given the large volume of building activity that was started several years ago," the bank warned in its half-yearly Financial Stability Review. Reports ABC, Michael Janda
"This new supply may weigh on prices and rents in these areas," the RBA warned. If that occurs, investors will need to service their mortgages while earning lower rental income and any households facing difficulties making repayments may not be able to resolve their situation easily by selling the property."
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Date: April 15, 2016 at 7:56 PM
Published by: ABC News
Reporter: Michael Janda
Category: Australia Real Estate