A spokesperson for Heritage confirmed that while the LVR ratio limit has been increased from 80 to 90 per cent for retail investment loans, it remains at 80 per cent for SMSF residential loans and 65 per cent for commercial property loans.
Heritage’s head of third-party channels, David Ure, said the change reinforces the bank’s determination to ensure sustainable growth in the home loan investment sector.
“This change will allow Heritage to continue to grow within the bounds of the 10 per cent guidelines imposed by the Australian Prudential Regulatory Authority,” he said.
“Heritage is all about delivering great value for our customers and we are committed to offering competitive rates that are among the best in the marketplace.
“With variable rates for investors from 4.59 per cent (and for owner-occupiers from 4.08 per cent), a Heritage home loan delivers on that commitment.”
Heritage’s 90 per cent LVR cap for investment loans became effective from 11 January 2016.