PHOTO: ANZ
SYDNEY, March 15 (Reuters) – Australia and New Zealand Banking Group will offer interest-only loans for up to 10 years to property investors, as it tries to fuel business amid softening economic conditions.
From April 25, Australia’s third largest lender will extend the period of interest-only loans – which do not require principal repayments – to property investors by 5 years to a decade, and will increase the size of the loans to up to 90 percent of the property’s value, the bank told clients in a memo seen by Reuters.
Australia’s four largest lenders, including ANZ, National Australia Bank, and their largest peers, Commonwealth Bank of Australia and Westpac Banking Corp, control about 80 percent of the country’s mortgage market, their largest contribution to profit.
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