Australians are borrowing more money for housing than ever before, according to the latest Australian Bureau of Statistics figures.
Data released his week showed the total value of new loan commitments for housing reached a record high in November 2020, rising 5.6 per cent to $24 billion (seasonally adjusted).
This represented a 23.7 per cent increase on November 2019.
The value of new owner occupier home loan commitments rose 5.5 per cent to $18.3 billion in November 2020, 31.4 per cent higher than November 2019. Loan commitments for investor housing rose 6 per cent to reach $5.6 billion.
ABS head of finance and wealth Amanda Seneviratne said the value of construction loan commitments had risen by 75 per cent since July following implementation of the Government’s HomeBuilder grant in response to COVID-19.
“Other federal and state government incentives and ongoing low interest rates also contributed to the continuing growth in new housing loan commitments,” Ms Seneviratne said.
The value of new loan commitments for fixed term personal finance rose 13.2 per cent in November, seasonally adjusted, mostly due to increased commitments for vehicles.