Lending has tightened sharply since the 2026 Budget, and the investors who understand the new rules will be positioned to buy while others sit out.Michael Killiner, Director of Tusk Finance, joins Reece Beddall and Lachlan Delahunty to break down what the negative gearing and capital gains tax changes actually mean for borrowing capacity, serviceability and cash flow. This is the most significant lending shakeup Australian property investors have faced since the interest-only caps of 2017, and most of it is happening quietly inside bank policy rather than in the headlines.Michael covers how lenders are now assessing rental income, why first home buyer lodgments have fallen since the Budget and how the guarantee scheme backfired, the real cash flow position on a $700,000 investment property, and the everyday commitments quietly destroying loan applications. He also explains why negative gearing is not gone so much as delayed, how debt recycling still works in 2026, and how to structure offset accounts and lending across major and non-bank lenders for the current environment.Book Your FREE Investment Assessment 👉: https://follio.com.au/contact-us/?utm_source=youtube&utm_medium=contact_us&utm_campaign=episode+85📊 Join the PropStac Waitlist: https://follio.com.au/propstac-waitlist/?utm_source=youtube&utm_medium=propstac&utm_campaign=episode+85In this episode: Post-Budget lending landscape and what changed for investorsFirst home buyer lodgments and the guarantee schemeRBA interest rate outlook for 2026Serviceability and borrowing capacity after the BudgetNon-bank lenders, assessment rates and rental income rulesTrust structures, company lending and the lending fraud crackdownThe real cash flow position on a $700,000 propertyWhether to pay down the mortgage in this environmentCar leases and the borrowing capacity damage they causeDebt recycling in 2026 and how to structure itWhy negative gearing is delayed rather than goneTimestamps:00:00 Budget fallout: CGT and negative gearing changes explained 04:19 20% drop in first home buyer lodgements 06:48 Interest rate predictions for 202608:47 Serviceability post-budget 09:30 Borrowing capacity slashed11:03 Non-bank lenders, assessment rates, and rental income rules 19:28 Should you pay off your mortgage in this environment? 26:17 Car leases: the worst thing for your borrowing capacity 28:08 Debt recycling in 202630:48 Bank policy shakeup coming33:07 The one piece of advice every investor needs right now Michael Kiliner: Podcast: @ThatBackyardPropertyPodcast Business: https://tuskfinance.com.au/Instagram: https://www.instagram.com/mortgageswmichael/?hl=enAbout The Follio Property PodcastEach week, Reece Beddall and Lachlan Delahunty break down the biggest conversations shaping Australian property. From market cycles to debt, strategy, data, and real-world insights — we make property simple, honest, and practical.📍 Visit Our Website: https://follio.com.au/📩 Contact Us: [email protected]📲 Follow Us on Social:Instagram: https://www.instagram.com/folliopropertypod/TikTok: https://www.tiktok.com/@folliopropertypodSpotify: https://open.spotify.com/show/4Akt4N53zsb4ldzFNlTwad?si=AFEgYOAiSh2QGbK8AfFLywLachlan Delahunty: https://www.linkedin.com/in/lachlandelahunty/Reece Beddall: https://www.linkedin.com/in/reece-beddall-294557b3/Executive Producer: Jonathan Fernandes https://www.linkedin.com/in/jonathan-fernandes-a75a991b2/Disclaimer: This is for entertainment purposes - not financial advice. Speak to a qualified professional before making any financial or property decisions#AustralianProperty #PropertyInvesting #NegativeGearing #FirstHomeBuyer #RBA #InterestRates #MortgageBroker #DebtRecycling #AustralianRealEstate #BorrowingCapacity #CGT #FollioPropertyPodcast

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