Investors are backing the housing market with loans to investors rising by 6.1% in January, Real Estate Institute of Australia (REIA) President, Hayden Groves said.
The latest Australian Bureau of Statistics (ABS) figures show that new investor housing loan commitments hit a record high of $11.0 billion (seasonally adjusted) in January 2022, which is a whopping increase of 6.1%
Mr Groves said housing affordability, in the face of rising inflation, continues to be a concern with the average loan rising $17,000 to a record high of $619,000.
He said the rise in investor loan commitments was concentrated in New South Wales which was up 9.8% and Victoria which grew by 11.1%.
"The share of investor lending to all new housing loan commitments was around one third of the total, in line with longer-term averages,” he said.
Mr Groves added that REIA will be releasing its Housing Affordability Report next week which is indicating further falls in loans to first home buyers.
GROWTH IN HOUSING FINANCE APPROVALS RESUMES
2021 OFFERS UNIQUE OPPORTUNITY FOR LATE AUTUMN AND WINTER SALES
RENTS CONTINUE RECOVERY FROM COVID IMPACT
All-star line-up for REIA National Awards for Excellence 2021 to be held in the Top End
HOMES SHOULD BE AT THE HEART OF BUDGET 2021 AS AUSSIE JOBS COME BACK ONLINE
RAPID GROWTH IN HOUSING FINANCE APPROVALS SLOWING DOWN
AUSTRALIAN HOUSING PRICES SOAR BY 500% OVER PAST 25 YEARS