When interest rates stay low, it usually means good news for people interested in taking out a home loan.
RP Data have analysed the main takeaways from the Reserve Bank’s decision to keep interest rates at very low levels for over a year, looking at the minutes from the RBA’s September meeting.
Dwelling commencements had increased strongly in the past 12 months too, as had first home owner grants and home loan approvals.
The pre-existing home market had also continued to grow in strength, and RP Data noted that housing credit keeps increasing by roughly 7 per cent per year. This is largely due to a significant amount of investor credit.
This focus on the housing market is out of the ordinary for the Reserve Bank, and indicates that the strength of Australia’s housing and lending is worth following closely.
The analysis from the weekly RP Data Property Pulse report also noted that lenders were reaping the rewards from global financial conditions, which creates more competition and demand for borrowing agencies.
This area was again driven by strong performances in investment lending rather than owner-occupier lending. Previous RP Data research showed that over the last 20 years, those who owned a home or had a mortgage have seen a sharp rise in their equity.
With conditions for lending so healthy, it is an excellent time to consider a career as a mortgage broker.
If you want a change of career to a flexible and exciting new role, you can take advantage of these borrowing conditions to kickstart your new role and experience some great benefits.
With the backing of a professional team and top-of-the-line software, you have access to a wide range of broker training and certification, allowing you to help even more Australians get into the lending system and into their new homes.
