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Owner-occupied loans up 5.7pc, investors up 17.3pc

Owner-occupied loans up 5.7pc, investors up 17.3pc

by Nick Bendel 0 comments

Investors are continuing to retain their market share, but new data suggests the overall market may be slowing.

The Australian Bureau of Statistics reported that $29.2 billion of loan approvals were given in October, which marked a 10.3 per cent increase on the previous year.

Approvals for owner-occupiers grew 5.7 per cent to $17.1 billion, while the investment portion jumped 17.3 per cent to $12.1 billion.

Despite that surge, the investor result is well down on September, when investors recorded 27.4 per cent growth.

However, investors continued to represent 41.4 per cent of housing finance commitments in October, as they did in September.

October's increase in the volume of loan approvals came in spite of a decline in the number of loan approvals, which fell 1.1 per cent to 51,720.

Loan approvals for established homes climbed 2.9 per cent to 42,487, approvals for new dwellings fell 6.5 per cent to 2,798 and construction approvals jumped 16.0 per cent to 6,436.

First home buyers represented 11.6 per cent of owner-occupied finance commitments in October, compared to 12.6 per cent the previous year. 

Their average loan size increased 12.1 per cent to $331,800.

Owner-occupied loans up 5.7pc, investors up 17.3pc
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