Aussies committing to new home loans at soaring rates
Latest figures from the Australian Bureau of Statistics show new home loan commitments have reached record highs.
New home loan commitments have reached record highs as the low interest rate environment and government incentives spur on a flurry of buying activity.
Latest Australian Bureau of Statistics data reveals new housing loans for December soared 8.6 per cent on the previous month, with $26bn added to the nation’s lending book.
The ABS recorded an 8.7 per cent rise in new owner-occupier home loans, while investor-only loans grew 8.2 per cent.
Owner-occupier loan commitments are at the highest level since June 2009, with Victoria having the largest jump.
ABS head of finance and wealth Amanda Seneviratne said loans for newly constructed properties had more than doubled since June, in part to the implementation of building grants like HomeBuilder.
“The value of construction loan commitments grew 17.1 per cent in December, more than doubling since the June implementation of the HomeBuilder grant,” Ms Seneviratne said.
“Federal and state government measures, such as HomeBuilder, and historically low interest rates are supporting ongoing growth in housing loan commitments.”
The latest lending figures coincide with monthly data published by CoreLogic that shows a 0.9 per cent rise in house prices across the country.
According to CoreLogic, national average property prices are 1 per cent higher than before the pandemic and 0.7 per cent above the market’s highest peak in 2017.
Increases were broad based, with cities and regional areas recording price rises over January.
The ABS also recorded a fall in personal fixed lending by 0.5 per cent.
Update after funds wiped from accounts
CommBank customers woke on Saturday to find funds had been taken from their accounts for transactions they had already paid for.
‘Failed too many’: Insurers lashed on floods
A parliamentary inquiry into the response of insurers to severe floods in several states in 2022 had let down many victims by failing to meet their obligations.
Aussies slugged online with this hidden fee
Australians shopping globally online are being charged a hidden fee, leading to calls for the Albanese government to extend its action on dodgy practices.