Greens push for Reserve Bank to become a 'people's bank' offering cheap home loans

The Greens are suggesting turning the Reserve Bank into a "people's bank" that could give borrowers up to 60 per cent of the cost of a house at lower interest rates.

Greens leader Richard Di Natale says party members are entitled to their view on his leadership. (AAP) Source: AAP

It would be capped at $500,000 and only be available for owner-occupiers — not investors.

The so-called "people's bank" would be limited to people with no other property investments including in their self-managed superannuation.

The proposal would mean a borrower would be likely to borrow part of the value of their property from the "people's bank" and the rest from a commercial bank at a higher interest rate.

Stergos Kastelloriou reports.