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Borrowing Activity Smashes Past Records

1102982_swiss_coins_1The Australian Finance Group (AFG) has processed mortgages worth $3.6 billion in May. An article on the AFG website reveals that the May figures are a neat 13% above the $3.2 billion recorded for April. It is worth noting that mortgage sales in April  had already smashed all past records and so further improvement in May is certainly a cause for delight.

Borrowings have risen across all demography. Western Australia leads the pack with an upswing of 17.7%. It is followed by Victoria, New South Wales, South Australia and Queensland. FHBs, investors and owner-occupiers are all getting into the game.

Trends worth pondering over:

  • Phenomenal increase in borrowing activity since Feb
  • Loan size reported to be the same as last year
  • Loan to Value Ratio trading close to the long term average
  • Fixed rate loan activity has dipped slightly

You can read the original article here.