Mortgage Business Lending restrictions have led to rental undersupply: PIPA By Annie Kane 10 May 2021 Restrictions that were brought in to curb investor lending in 2017 have led to a “critical undersupply” of rental properties in capital cities, according to the group. The chairman of the Property Investment Professionals of Australia (PIPA) has suggested that rental market vacancies, particularly in smaller capital cities, are near all-time lows as a result of historic lending curbs, exacerbated by the COVID-19 pandemic. PIPA chairman Peter Koulizos stated that a number of capital cities (excluding Sydney and Melbourne), as well as regional locations, currently had vacancy rates of less than 1 per cent – noting that this is well below what is considered to be “balanced” vacancy rates (3 per cent).