Definatly NOT...
If the banks undertook prudent lending habits there would be no need to nationalise them and they continue as is
Prudent for which stakeholder exactly?
Oz banks did pretty well in general throughout the GFC.............
LVR of itself isnt a risk indicator to capital if properly transferred to a mortgage insurer which is a proper third party.
BTW, the majority of loans are nothing like 95 % lends,and in general most brokers and bankers will avoid them and look for a min 90% lend
Well below 80 % LVR the risk to capital falls away, and this can be seen in some lenders pricing
ta
rolf