Property buyers forked out big bucks at the end of the year spending more than $29 billion on real estate, ABS figures reveal

BORROWING to buy real estate continued to surge at the end of the year, with new Australian Bureau of Statistics figures revealing a $29 billion spend.

BORROWING to buy real estate continued to surge at the end of the year, with new Australian Bureau of Statistics figures revealing an $29 billion spend.

Owners occupiers accounted for the highest value of borrowings, with the October Housing Finance figures revealing they borrowed $29.2 billion in October to purchase real estate.

This was up 1 per cent on the previous month.

Investors were also a strong force with borrowings also up by 1 per cent to $12 billion in October.

Owner occupiers borrowed $17 billion to buy a new home. Picture: Thinkstock.

Borrowing for investment in property has been on a steady increase since 2011.

The figures reveal 51,720 properties were bought during October which was only up slightly, 0.3 per cent, on the previous month.

The number of people borrowing to construct new homes also increased during the month by 1.5 per cent.

There was an increase in people borrowing to build their own homes as well. Picture; Thinkstock.

The ACT had the highest increase in owner occupiers borrowing during the month, followed by Victoria and Western Australia.

Borrowing by owner occupiers was down in all other states.

The average loan size also increased during the month by $5300 to $331,800.