Best Month for Home Loans Approvals in 3 ½ Years

The latest housing finance data from the Australian Bureau of Statistics has shown April had the highest monthly uptake of home loans since November 2009, says leading mortgage broker Loan Market.

Loan Market spokesperson Paul Smith said that the 48,475 home loan approvals in April was the fifth consecutive month of growth for the struggling sector and that Western Australia was one of strongest rebounding states, posting a five and a half year high

Mr Smith said that compared to the same time period last year home loan approvals were up 7 per cent nationally and each state and territory achieved growth. NSW was a particular standout, performing eight per cent better than April 2013 and posting the highest total in 43 months.

“The resource and mining states are running hot right now, with WA and SA posting double digit growth from last year.The activity in these states is now on-par with pre-GFC levels,” Mr Smith said.

“Growth like this is encouraging as it demonstrates that confidence is returning to the property and finance markets. The RBA rate cut in May and the increased competition between lenders during this period should see another record set in May’s ABS’s data.

Mr Smith said that Victoria was the only state not posting a monthly growth result but that was due to a strong April figures which saw the state achieve a 42 month high. The 12,647 home loan approvals in May 2013 where the second highest result since November 2009.

ABS Housing Finance Results

                    April 13 vs April 12

NSW            8%    *best result since Oct 2009

VIC               4%

QLD             2%    *best result since Feb 2010

SA                12%    *best result since Dec 2009

WA               15%    *best result since Nov 2007

TAS              13%

NT                0.3%

ACT              8%

AUS              7%      *best result since Nov 2009

  <p dir="ltr">ENDS</p> <p dir="ltr">For further information:</p> <p dir="ltr">Paul Smith</p> <p dir="ltr">Mb: 0421 923 019</p>