Concerns over rate cuts in the Australian debt level seem already to be dispelled, given the latest funding figures released by the Reserve Bank of Australia, which show a modest demand for funding from both homeowners and investors.
Mortgage loans increased only 0.2% in September, in line with moderate overall credit growth. In particular, lending to investors continued to contract after three consecutive months of decline.
"The housing credit for investors has been contracted for three consecutive months, which has never happened before," REA Executive Director of Research Cameron Kusher said in a statement. a tweet.
He stated that this could only mean that investors had not stimulated housing demand in recent months.
"In addition, investors are paying off a larger portion of the main debt because it is moving away from the IO," he said.
The housing credit for investors contracted for three consecutive months, which had never happened before.
– Cameron Kusher (@cmkusher) October 31, 2019
The activity of investors will resume?
According to a CoreLogic analysis, investor activity should accelerate, given the improved prospects for capital gain.
In fact, the gross rental yields of the capital are 3.7%, against 3.8% for fixed rate mortgages of three years for investment purposes.
"In the past, rising home values ​​and increased investor participation have reduced the activity of early buyers," said Tim Lawless, research director at CoreLogic.
The current low interest rate environment could be one of the reasons, allowing investors to look for positive treasury properties, said Jeremy Sheppard, head of research at Select Residential Property.
"This assumes a mortgage loan of 80% with a 4% interest rate and an additional loss of 1.5% of the value of the property to the benefit of other expenses such as rates. council, property management, repairs and maintenance, "he said. Australian Financial Review.
Top suburbs:
Midland
,
Gladesville
,
Ferntree Gully
,
emerald
,
pourquoialla
Get help for your real estate investment
Do you need help in finding the right loan for your investment?
When you invest in real estate, it is important to make sure that you do not only have the lowest available rate that you can get, but you also have the features of ready adapted to your needs.
Just fill in a few details below and we will then make the necessary arrangements for a local Australian mortgage broker to contact you and solve the problem What features or what types of loans are suitable for your needs? We will even help with the paperwork. In addition, an appointment is free.
We value your privacy and treat all your information seriously – you can check
our privacy policy here
