Resource States Continue Home Loan Resurgence

A continuing surge in activity in the resource states Western Australia and Queensland and strong performances from the territories has boosted home loan approval figures nationwide, according to leading mortgage broker Loan Market.

Loan Market Corporate Spokesperson Paul Smith said Australian Bureau of Statistics (ABS) figures for the September quarter 2012, show a 3.6 per cent rise from the corresponding period in 2011.

“This is a very encouraging start to the 2012-13 financial year, with excellent results from Western Australia, Queensland, the Northern Territory and the Australian Capital Territory” Mr Smith said.

“WA was up 14.63 per cent on the September quarter in 2011, while Queensland had a 7.07 per cent rise. There were even better figures in the Northern Territory which was up 17.10 per cent and the ACT 6.52 per cent.”

The ABS reported a modest 0.9 per cent rise nationwide in home loan approvals in September, 2012, compared with August, 2012, but in New South Wales the month on month growth was 1.65 per cent and in the ACT 9.26 per cent.

“The removal of stamp duty concessions in NSW resulted in a 1.4 per cent drop compared to the September quarter 2011 but month on month there was a 1.65 per cent increase – the best result in eight months,” Mr Smith said.

“The ACT had a resounding September which was its strongest month since January, 2010.”

Mr Smith said September, 2012, was also the best month nationwide for home loan approvals since December, 2011.

“There has certainly been a Spring resurgence in most parts of the country and the interest rate cuts in May and June this year had some impact on activity,” he said.

“This activity should continue on the back of the latest rate cut in October, however the recovery still has a long way to go.” <table width="323" border="1" cellspacing="0" cellpadding="0">

State 

Q1 of FY12 vs  Q1 Y11

MoM

NSW

-1.40%

1.65%

VIC

3.01%

2.32%

QLD

7.07%

0.63%

SA

-3.43%

-0.61%

WA

14.63%

-2.31%

TAS

-3.31%

3.38%

NT

17.10%

7.25%

ACT

6.52%

9.26%

National

3.60%

0.90%

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