Australian housing finance approvals have been weakening – preview of today’s release


Alongside the slide in house prices ahs been the slide in financing

Chicken and egg, tail wagging the dog …. all sorts of analogies and discussions of what is driving what abound.

Anyway, for today:

Home loans 

  • expected -2.0% m/m, prior -0.9

Investment lending 

  • prior -4.5% m/m

Owner occupied lending

  •  -1.4% m/m

Westpac on what to expect:

  • Housing finance approvals softened in November with weakness concentrated in investor loans and the value, as opposed to the number of owner occupier loans
  • The headline number of owner occupier loans held up a little better than expected, recording a 0.9% decline
  • However, the total value of housing finance approvals including investors but excluding owner occupier refi, was down -2.9%mth and -16%yr. 

The December update is expected to show a further weakening with industry data covering the major banks pointing to a sharp decline in the final month of the year. Owner occupier approvals are expected to show a 3% drop, adding to the bleak picture around housing in late 2018


Products You May Like

Articles You May Like

Central bank speakers… how to prepare for them?
Hedge funds had their best first quarter in 13 years to start 2019
Euro Eyeing Italian Leading Indicators – Political Obstructions Ahead
European share end with mixed results on the day
AUDUSD tried the downside today, but the fall was reversed

Leave a Reply

Your email address will not be published. Required fields are marked *