FX.co ★ Australia Home Loans Sink 5.6% In December

The Australian Bureau of Statistics has reported that December saw a decrease of 5.6 percent, adjusting for seasonal variations, in the value of owner-occupied home loans in Australia, resulting in a total of A$16.77 billion. This comes after an increase of 0.5 percent was observed in the preceding month of November.

Investment lending also decreased by 1.3 percent to A$9.50 billion, following a 1.9 percent increase in the previous month. Total home loans for the month dropped by 4.1 percent equating to A$26.27 billion.

Comparing these numbers on an annual basis, there has been a rise of 7.4 percent in owner-occupied loans, a significant surge of 20.4 percent in investment lending and an overall increase of 11.7 percent in lending.

Lending specific to construction saw an increase of 3.3 percent month on month and an impressive 21.9 percent increase year on year, making a total of A$2.31 billion. Loans directed towards purchasing property also went up by 1.0 percent within the month and 3.7 percent over the year, totalling A$5.32 billion.