Investor loans continue to rise

Investors are continuing to show confidence in the future of property with the latest data showing a 6.1% rise in the value of housing loans made to investors in January, according to the Australian Bureau of Statistics (ABS).

A total of $11 billion was loaned to investors  – that’s a new record and the 15th consecutive month of growth in investor loans with investors now accounting for a third of all housing loans across Australia.

The hotspots where investment loans grew significantly were:

  • Australian Capital Territory: 22.8%
  • Victoria: 11.1%
  • New South Wales: 9.8%

Queensland (-1.7%) went backwards, but its annual investor loan levels remain at historic highs, while investor loans in South Australia fell -2.5% and Tasmania -3.0%.

Lenders issued a total of $33.7 billion in loans in January. That’s up 2.6% month-on-month and represents another record high, according to the ABS.

Homeowners climbing the property ladder borrowed $22.69 billion – up 1% on the previous month.

Another record has been set for the average loan size for owner-occupiers. It now stands at nearly $619,000 – up $17,000. Every state and territory hit record-highs for owner-occupier loans in January except Tasmania.

The data also shows however that there are fewer first-time buyers in the market, dropping 6.9% across the country.

If you’ve been considering investing in property, we can help you look at your financing options.


Disclaimer: This document has been created by Loan Market Pty Ltd (ABN 89 105 230 019, Australian Credit Licence number 390222). It provides an overview or summary only and it should not be considered a comprehensive statement on any matter. You should before acting in reliance upon this information seek independent professional lending or taxation advice as appropriate specific to your objectives, financial circumstances or needs. Information included has been sourced from third parties and has not been independently verified. Accordingly, Loan Market Pty Ltd is not in any way responsible for nor provides any warranty express or implied as to its accuracy or relevance.

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