Major Updates to VCMM Compliance Policy - Actions Required from Brokers

The target audiences for this update are VCMM accredited brokers and brokers applying for VCMM accreditation.

We have just sent a newletter email to the target audience with detailed documents required as per our new compliance policy. Please remember to check your mailbox (or "Junk Box" just in case) for the details and send the required documentation to compliance@vcmm.com.au at the earliest if you are one of the target audiences.

If you think you are a target audience but failed to receive the underlying newsletter email from us, please do not hesitate to contact us via compliance@vcmm.com.au.

Your cooperation is very much appreciated.

Vast Capital Mortgage Management ("VCMM")

Bank Holiday Notice - Monday 03 August 2020

We wish to advise that our office will be closed on Monday 03 August 2020 due to Bank Holiday.

You can still send us emails or leave messages on our website. We will get back to you once we resume work on Tuesday 04 August 2020.

(For business partners: should you have any urgent issues to discuss, please contact your BDM.)

Can We Get Back to "Normal"? The Economy & Property Prices

Restrictions are likely to ease in four-week increments which allows the National Cabinet to monitor the impacts of each change. The federal government mentions that a key indication of the economy reopening is when schools return back to normal. The governments five step process over six or so months aims to get Australia back to normal. The first step aimed at fighting the virus, the second aims at providing relief to Australian through financial support such as JobKeeper and JobSeeker payments. The third step aims at reopening the economy safely, and step four aims at building consumer and business confidence in order to allow for the economy to recover. The final step aims at using pro investment policies to reset the economy (ABC, 2020).

Although many have predicted a possible fall in property prices, however it does not mean much to young Australians, more than half of households aged under 60 could be renting in 20 years. Many are now suffering from job loss and rent payments which means they are still unable to purchase property (ABC, 2020). “House prices are set to bottom out by June next year, helped by improving affordability, but a recovery is likely to be held back by high unemployment that is expected to remain above 7 per cent until 2022, ANZ predicts”. Even though mortgage deferral serves to help the current situation, the economy may be strongly impacted for the coming years by the fall in the rental market, weaker household income and lower populational growth (AFR, 2020).