Shadow Treasurer Angus Taylor has said that if elected, the Coalition would direct APRA to develop ways to lower the interest rate serviceability buffer banks must currently use to calculate if a home loan applicant could withstand a 3-percentage point rise in mortgage rates.
Property Council Chief Executive Mike Zorbas said a fresh look at balanced regulations would provide access to new homes when they are needed most.
"Regulatory frameworks need the flexibility to provide appropriate checks and equally enable the right volume of access to finance and we welcome ideas that support this," Mr Zorbas said.
"A sensible safety net is important and within that frame so is ensuring as many Australians as possible can own their own homes.
"The first and most crucial step remains increasing housing supply-we can only overcome the housing crisis by building more homes.
"Decades of slow approvals and more recent rising construction costs and labour shortages mean we urgently need to shrink our housing supply deficit.
"We urgently need to streamline regulations, grow the workforce and remove tax barriers to boost investment in new homes," Mr Zorbas said.
