The major bank has made changes to some of its home loan product features, including the removal of relocation loans as an option for investors.
Westpac and its subsidiaries (Bank of Melbourne, BankSA and St George Bank) have revised the features of its relocation and building loan products.
Effective from Sunday, 2 June, Westpac has made the following changes to its relocation loan products:
- Extension of the loan term for established homes from six months to 12 months
- Removal of relocation loans as an option for investment properties
Westpac noted that for investor relocation loans, any applications received and credit decisioned before 2 June 2019 can still be processed as per normal, while applications on or after 2 June 2019 will not be accepted.
Also effective from Sunday, 2 June, Westpac Group will extend the progressive drawdown term expiry for building loans from six months to 12 months, with new building loan customers to be sent a reminder letter nine months after the initial drawing detailing the following information:
- Construction end date
- How to progress with the construction of their property
The group added that all building loan T&C’s and loan offer documents issued after 2 June 2019 will state the construction period is 12 months, while all those issued before 2 June 2019 will state that construction period is six months.
Westpac’s latest changes follow revisions to its residential lending policy, which included serviceability changes for self-employed applicants.
[Related: Westpac amends residential lending policy]