Report on mortgages published by the Australian Bureau of statistics showed that the number of mortgage loans in August increased by 1.0%, after rising 2.8% in July (revised from 2.9%). Economists had expected growth of just 0.5%.
Report on mortgage loans traces the development trend in the housing market of Australia and the level of consumer confidence, as large loans to purchase real estate are not taken into account.
Investment lending in August increased by 4.3% to 12,633 billion after falling by 3.7% in July. The cost of credit in August grew by 0.9% to 21,265 billion after rising 1.3% a month earlier.
Initial data from Westpac:
- The value of approved investment in residential construction showed a surprisingly strong gain of 4.3%, which is significantly more than the decline in July -6,5% year-on-year.
- Overall, the total value of loans rose by 1.9% to 12.3% per annum. This distinctly contrasts with other market measures, tariffs on trade, turnover and prices, points to a significant slowdown in activity in the construction of residential houses compared to that seen in 2015
- The discrepancy between the market conditions and housing funding may be an indirect sign that weaker demand of foreign buyers is a significant part of the slowdown in 2017.
Information-analytical Department Forex club