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Why Kenneth Hayne didn’t call for ban on Household Expenditure Measure

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6 February 2019 by Alexis Carey, news.com.au

Article link: https://www.news.com.au/finance/real-estate/buying/why-kenneth-hayne-didnt-call-for-ban-on-household-expenditure-measure/news-story/5f531407d468d19c6b5b174896ab11ad

For more than a decade, one magic number has made the difference between nabbing your dream home — or being rejected for a loan. That number is the Household Expenditure Measure (HEM), a tool that has long been used by most of our banks to calculate our expenses and ability to manage repayments, which then helps determine how much we can borrow.


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