According to the latest lending indicators data from the ABS, the value of new loan commitments for total housing rose 2.6% to a record high of $33.7b in January, 18.2% higher compared to a year ago.

New investor housing loan commitments rose 6.1% to a record high of $11.0 billion (seasonally adjusted), while owner-occupier housing rose 1.0%.

This marks 15 consecutive months of investor loan commitments rising. 

The January rise was driven by strong growth for investor loans in New South Wales (+9.8%), Victoria (+11.1%), and the Australian Capital Territory (+22.8%). 

LendingJan22.jpg

Number of first home buyers drops further

In January 2022 the number of new loan commitments for first home buyers fell 6.9% (seasonally adjusted).

The January decrease shows the number of first home buyers entering the market is 32.6% lower compared to a year ago.

State by state, the number of first home buyers in January fell:

  • Queensland -16.1%
  • Western Australia -8.1%
  • Victoria -2.2%
  • New South Wales -2.0%
  • South Australia -4.6%,
  • Tasmania fell 12.5%
  • Northern Territory -1.6%

This decrease in first home buyer numbers has been influenced by worsening affordability, as house prices have skyrocketed over the last 12 months.

At the national level, the average loan size for owner-occupier dwellings (which includes construction and the purchase of new and existing dwellings) rose $17,000 to another record high of $619,000 in January.

ABS head of Finance and Wealth Katherine Keenan said commitments drove up the average loan size.

“The strong rise in the average loan size for owner-occupier dwellings in January was due to an increase in the value of commitments, and a largely unchanged number of new loan commitments.

"All states and territories rose to new highs except Tasmania and the Northern Territory.”

FHBJan22.jpg

Advertisement

Buying a home or looking to refinance? The table below features home loans with some of the lowest interest rates on the market for owner occupiers.

Update resultsUpdate
Filters
LenderHome LoanInterest Rate Comparison Rate* Monthly Repayment Repayment type Rate Type Offset Redraw Ongoing Fees Upfront Fees Max LVR Lump Sum Repayment Additional Repayments Split Loan Option TagsFeaturesLinkComparePromoted ProductDisclosure
6.04% p.a.
6.06% p.a.
$3,011
Principal & Interest
Variable
$0
$530
90%
4.6 Star Customer Ratings
  • Available for purchase or refinance, min 10% deposit needed to qualify.
  • No application, ongoing monthly or annual fees.
  • Quick and easy online application process.
Disclosure
5.99% p.a.
5.90% p.a.
$2,995
Principal & Interest
Variable
$0
$0
80%
Apply in minutes
  • No application or ongoing fees. Annual rate discount
  • Unlimited redraws & additional repayments. LVR <80%
  • A low-rate variable home loan from a 100% online lender. Backed by the Commonwealth Bank.
 Disclosure
5.69% p.a.
6.16% p.a.
$2,899
Principal & Interest
Fixed
$0
$530
90%
  • Available for purchase or refinance, min 10% deposit needed to qualify.
  • No application, ongoing monthly or annual fees.
  • Flexibility to split your loan with both fixed and variable rates
 Disclosure
Important Information and Comparison Rate Warning

Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to be made on variables as selected and input by the user. Some products will be marked as promoted, featured or sponsored and may appear prominently in the tables regardless of their attributes. All products will list the LVR with the product and rate which are clearly published on the product provider’s website. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of . View disclaimer.

Important Information and Comparison Rate Warning

Image by Aaron Burden via Unsplash



Ready, Set, Buy!


Learn everything you need to know about buying property – from choosing the right property and home loan, to the purchasing process, tips to save money and more!

With bonus Q&A sheet and Crossword!

Download Free
By subscribing you agree to our privacy policy