Housing Finance Numbers Continue To Dive
The March 2019 Lending to Households and Business figures released today by the Australian Bureau of Statistics show that the number of loans for housing, excluding refinancing, continues to decline, according to the Real Estate Institute of Australia (REIA).
“Overall the figures for March 2019 show, in trend terms, that the number of owner-occupied finance commitments, excluding refinancing, decreased by 1.6 per cent – the eighteenth consecutive month of decreases and the lowest since December 2012,” REIA President Adrian Kelly said.
“In trend terms decreases were recorded in all states and territories with the largest decrease of 3.3 per cent in the Northern Territory.
“The value of investment housing commitments, excluding refinancing, decreased by 2.7 per cent in March. This is down 25.9 per cent from a year ago and is at its lowest level since March 2011.
“The number of loans to first home buyers increased by 8.2 per cent and the proportion of first home buyers, as part of the total owner-occupied housing finance commitments increased in March to 18.0 per cent from 17.7 per cent in February.
“There are a number of reasons for the continued decline in housing finance in March, one of which would have been the expectation of the calling of the Election after the Budget, and the uncertainty this generates regarding outcomes including concern about changes to property taxation and its impact should there be a change in Government,” Mr. Kelly concluded.