I think its a bit too easy to get a mortgage at the moment... and i think it might lead people in to a false sense of security, because if they can only just afford repayments now with rates so low, what happens when they go back up??

When we bought our house we left a fair bit of room in the budget to account for rate rises, and bam, within the first 3 months there were a whole bunch of increases, lucky for us it was only about $50 a 1/4 percent, so ended up being a few hundred dollars more a month.

I guess banks figure if you can't save a deposit how will you pay more when interest rates go up?