AdvertisementBusinessBanking & financeHome loans Opinion Buckle up for the banks’ mortgage war! Add to that the fact that house prices are declining and it’s easy to understand their reluctance. Last month, Westpac revealed a 20 per cent fall in its housing investor loan applications over the three-week period following the May budget. AdvertisementSo buckle up for the mortgage pricing war that will inevitably follow as the banks attempt to woo customers. The government had the best of intentions when it sought to dampen runaway house prices and allow less affluent people to get a foothold in the market.