Australia’s housing finance landscape has seen an increase in the strength of new home lending rates across the nation, which suggests more buyers are obtaining finance for their purchases. As a mortgage broker, staying sharp and on top of these developments will do wonders for you – allowing you to help your clients with all their needs.
The latest release from the Housing Industry Association (HIA) has found that the owner-occupier segment of the market has seen strong increases in the new home lending market. HIA Economist Diwa Hopkins said these markets have consistently performed well, which could be encouraging for buyers considering making the move into the market.
“Following decent increases in the December and March quarters, lending for the purchase or construction of new homes increased again during the June 2014 quarter, albeit at a more modest pace of 1 per cent. Over the full 2013/14 fiscal year new home lending increased by 12 per cent,” said Ms Hopkins in an August 8 statement.
“With lending rates remaining very low, turnover in the established home market has risen, as have home prices. The residential construction industry has responded strongly to these signals. In terms of new home lending being a leading indicator of residential building, today’s housing finance figures suggest home building activity should continue its strong recovery as we progress through the second half of the year.”
Growth has been recorded over the three months ending June 2014 in Tasmania (13.4 per cent), Queensland (11.3 per cent), Western Australia (9.1 per cent), New South Wales (2 per cent) and Victoria (0.3 per cent), highlighting potential areas where increases could be expected.
Now could be the perfect time to brush up on your mortgage broker training in order to get ready for the potential influx of clients in the coming months.
