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Investors have historically outweighed first home buyers, but the spread in market participation has never been this wide

Over recent years the level of investor participation in the national housing market has hit historic high levels and at the same time, housing finance commitments to owner occupier first time buyers has shrunk.  As an example, January 2017 housing finance data shows that based on the total value of housing finance commitments, a record-low […]

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The investor surge continues at the expense of first home buyers

Housing finance data for January 2017 was released earlier today by the Australian Bureau of Statistics (ABS).  The data showed the over the month there was $33.9 billion in housing finance commitments which was 1.5% higher than the previous month.  The value of housing finance commitments in January 2017 was 11.0% higher than it was […]

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Capital city vacant land selling prices continue to rise as prices fall in regional Australia

The median selling price of vacant land continued to climb in capital city markets throughout 2016 while in regional areas prices have fallen.  The other big shift over the past 12 months has been the fairly significant increase in lot sizes after they have trended lower over many years. Throughout 2016, the median selling price […]

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Mortgage demand for established housing stock continues to climb

Housing finance data for December 2016 was released earlier today by the Australian Bureau of Statistics.  Demand for mortgage finance continues to increase over the month reflective of the ongoing growth in home values currently being experienced. Unlike the rest of the charts throughout this post, the above chart does not use seasonally adjusted figures.  […]

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New lending to investors in New South Wales has accounted for more than half of all new lending for 42 of the past 48 months

The Australian Bureau of Statistics (ABS) released lending finance data earlier today and when it is paired with the earlier housing finance data release, the figures provide insight into the value of mortgage lending over the month in each state and territory.  Over recent months investor demand for mortgages has been trending higher and this […]

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Mortgage demand from investors continues to lift

The September 2016 housing finance data was released earlier today by the Australian Bureau of Statistics (ABS).  The data showed that there were $32.3 billion worth of housing finance commitments in September 2016 nationally which was the highest monthly value since June 2016.  The value of housing finance commitments increased by 2.3% over the month […]

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Investors are re-entering the housing market but should do so with caution

At the end of 2014, the Australian Prudential Regulation Authority (APRA) wrote to mortgage lenders reinforcing what they saw as sound mortgage lending practices.  The key points from that letter were that serviceability policy limits should be based on mortgage rates at least 2% above the product loan rate with a minimum floor assessment of […]

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Investor housing demand continues its bounce-back

Housing finance data for July 2016 was released by the Australian Bureau of Statistics (ABS) earlier today.  The release showed that the total value of mortgage lending in July 2016 was recorded at $31.8 billion which was -1.8% lower compared to the $32.4 billion worth of mortgage lending in June 2016.  The value of mortgage […]

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New lending to investors and interest-only lending jumps over the June 2016 quarter

The Australian Prudential Regulation Authority (APRA) released its June 2016 quarter property exposures data earlier this week.  The data looks at exposure to the property market by Australian Authorised Deposit-taking Institutions (ADI).  It’s valuable because it provides deeper insight into lending from mortgage lenders which isn’t available from the Australian Bureau of Statistics (ABS) monthly […]

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Where to for the housing market in Spring?

The housing market appears to be responding to a number of factors which have spurred further growth in home values.  Official interest rates are at historic low levels which has encouraged borrowing for housing and driven housing debt to record-high levels.  The low interest rate setting is also seeing significant competition amongst lenders which has […]

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