Home loans drop in Jan­uary from De­cem­ber record

Pilbara News - - Property - Louise Alling­ham

■ Ac­cord­ing to data from the Aus­tralia Bureau of Sta­tis­tics, de­mand for home loans plum­meted across the State in Jan­uary.

There were 2240 fewer home loans in Jan­uary than De­cem­ber, equat­ing to a 3.9 per cent dip.

Jan­uary’s sta­tis­tics also ap­peared weak as De­cem­ber marked an eight-year high for home loans.

Mort­gage Choice chief ex­ec­u­tive John Flavell said the drop was con­sid­er­able, but not sur­pris­ing, as the mar­ket tended to slow in Jan­uary.

“Aus­tralians are too busy en­joy­ing the fes­tive sea­son and go­ing on hol­i­days to worry about pur­chas­ing prop­erty or tak­ing out a home loan,” he said.

Mr Flavell said it was im­por­tant to con­sider that al­though there was a drop, the mar­ket did not “fall off a cliff ”.

“More than 55,000 home loans were ap­proved through­out the course of the month, which is in­cred­i­bly strong by his­tor­i­cal stan­dards,” he said.

Mr Flavell also said the data were in keep­ing with long-term in­dus­try trends and the mar­ket would re­main ro­bust.

“De­spite on­go­ing com­men­tary that some parts of Aus­tralia are in the midst of a hous­ing bub­ble, in­ter­est rates con­tinue to sit at his­tor­i­cal lows, mak­ing the cost of bor­row­ing in­cred­i­bly af­ford­able,” he said.

Pic­ture: Louise Alling­ham

Ap­proved home loans dropped sig­nif­i­cantly in Jan­uary as per nor­mal in­dus­try trends.

Newspapers in English

Newspapers from Australia

© PressReader. All rights reserved.