Home loan values are on the rise
The total value of dwelling commitments, excluding alterations and additions, was flat in November 2017 compared with the previous month, while the seasonally adjusted series rose 2.3%, according to the Australian Bureau of Statistics’ (ABS) housing finance data for November 2017.
The total value of owner-occupied housing commitments rose 0.1% to $14m. Rises were also recorded in commitments for the purchase of new dwellings (up 0.2% to $3m), and commitments for the purchase of established dwellings (up 0.2% to $29m). Meanwhile, a fall was recorded in commitments for the construction of dwellings (down by 0.9% to $18m).
“The seasonally adjusted series for the total value of owner-occupied housing commitments rose 2.7% in November 2017,” ABS said.
In contrast, the total value of investment housing commitments dropped by 0.3% to $31m in November compared to the previous month. Drops were also recorded in commitments for the purchase of dwellings by individuals for rent or resale (down by 0.8% to $75m), and commitments for the purchase of dwellings by others for rent or resale (down by $22m to 2.3%).
A rise was recorded in commitments for the construction of dwellings for rent or resale (up 5.4% to $66m).
“The seasonally adjusted series for the total value of investment housing commitments rose 1.5% in November 2017,” ABS said.
Overall, the value of home loan lending rose for the second consecutive month in November, driven by the acceleration in owner-occupier and investor demand.
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