According to the latest January 2013 ABS Housing Finance figures, consistently, well over 30% of all housing loans are for residential investment, month after month.
These figures are Australia wide and clearly reflect a confidence in Australia’s strong residential property market.
AFG, Australia’s largest mortgage broker has 10% of the total mortgage market (Source AFG and ABS statistics) and AFG Mortgage Index trends usually foreshadow ABS figures for each month published six weeks later and clearly show in their most recent February 2013 mortgages sold statistics, 34% were for residential investments both Australia wide and Victoria .
Also in February AFG processed over $2.9 billion in mortgages a healthy increase of 5.3% from the previous February 2012 figure of $2.8 billion and this trend is continuing to build year on year where the previous month of January 2013 figure of $2.26 billion was a massive increase on the 2012 figure of only $1.82 billion.
Mark Hewitt, AFG General Manager of Sales and Operations says: “Borrowers seem to be responding to the combination of a more positive global economic outlook, lower rates and enhanced affordability.”
He goes on to further say: “These figures build on other statistics published recently showing uplift in activity in property markets.”