To illustrate, in 2018, one in eight loans to first time buyers were above the loan-to-income limit of 3.5 times income.32 Further, almost 50 per cent of these allowances were for loans issued with a loan-to-income ratio above 4.
Amid these uncertainties, the global financial markets may prove turbulent in the future and there is the likelihood of the heightened volatility of business activity in the major countries.