The Australian banks are refusing to give funds to the homeowners who are looking to upgrade their homes and willing to live ion a bigger house. This move of the banks have caused the delay in home purchases and also forced the house owners to sell their old homes before buying new house to live in.

According to the industry experts, the lenders are blocking the finance intermediate loans, which finance the purchase of new home whenever any existing house is sold.     

With this common policy a normal man can buy a new home while selling older one but now the banks are claiming that this system of lending can cause bad debt for the lenders.

According to an expert of the mortgage industry these type of loans are very hard to get in the running time as the banks are not willing to lend under the bridging intermediate finance scheme.

The banks are hesitating to lend in the scheme as they have to lend a bigger amount of money than the price of old house and they do not have any security attached to that increased money.