The Real Estate Institute of Australia (REIA) has hit out at a recent St George property hotspot report stressing that banks should stick to lending and leave property buying advice to estate agents.
“The banks need to be careful what they support because they are regarded as being credible institutions,” REIA president David Airey told Real Estate Business.
Mr Airey said that St George, together with its mother company Westpac and the Commonwealth Bank of Australia account for almost 60 per cent of all lending, highlighting the influence these institutions now have in the market.
“Some buyers might rush in and buy a property on the back of a bank’s advice, without taking into account sound real estate advice.”
Mr Airey said it was ironic that the banks, who were the first to curtail lending and foreclose mortgages, are now conducting reports on property hotspots.
“I must be out of touch. I thought banks lent money, valuers value and real estate agents market property,” he said.