Easier mortgage credit will drive house prices higher

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National Australia Bank (NAB) has become a banking pariah, lobbying for easier first-time homebuyer access to mortgage credit to improve ‘housing affordability’.

Last month, NAB executive Andy Kerr told a parliamentary inquiry that prospective first homebuyers would have more purchasing power if rules limiting mortgage access were loosened.

Kerr argued that first homebuyers were no more risky than other borrowers.

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.