New loan commitments for housing fell 4.4% in June: Australia

The value of new loan commitments for housing fell 4.4 per cent in June 2022 (seasonally adjusted) but remained at a historically elevated level of $31.0 billion, according to data released today from the Australian Bureau of Statistics (ABS).

Katherine Keenan, ABS head of Finance and Wealth, said: “The value of new owner-occupier loan commitments fell 3.3 per cent in June 2022, while new investor loan commitments fell 6.3 per cent. These falls followed rises in May, attributed to a clearing of application processing backlogs by lenders.

“Even with the June falls, the value of new owner-occupier loan commitments remained 50 per cent higher than the pre-pandemic level in February 2020, and the value of new investor loan commitments remained 101 per cent higher.”

New loan commitments for housing fell 4.4% in June

Total (ex. refinancing) ($b)Owner occupier (ex. refinancing) ($b)Investor (ex. refinancing) ($b)
Jun-0411.7947.254.544
Jul-0412.0277.334.696
Aug-0412.0487.3924.655
Sep-0412.2137.4154.798
Oct-0411.9577.4154.542
Nov-0412.5737.6954.878
Dec-0412.9457.9335.012
Jan-0513.2258.0975.128
Feb-0513.8268.4915.335
Mar-0513.4938.2065.287
Apr-0513.2498.0875.162
May-0512.7338.034.703
Jun-0512.6858.1524.533
Jul-0512.8418.0944.747
Aug-0512.98.3084.592
Sep-0513.5278.6434.884
Oct-0514.0148.7135.301
Nov-0514.0538.8515.202
Dec-0514.0338.8775.155
Jan-0614.2698.9565.313
Feb-0614.4279.1795.248
Mar-0614.5399.2595.28
Apr-0614.7229.4725.25
May-0615.2499.4875.762
Jun-0615.5499.5196.03
Jul-0615.2859.7985.487
Aug-0615.0119.4895.522
Sep-0614.1559.1674.988
Oct-0614.3139.2765.037
Nov-0614.2029.234.972
Dec-0614.589.3995.181
Jan-0714.9649.585.384
Feb-0715.4039.775.633
Mar-0715.90810.0795.829
Apr-0716.30510.2646.041
May-0717.10210.6976.404
Jun-0718.2911.3446.946
Jul-0717.43110.7946.637
Aug-0717.43711.0566.381
Sep-0716.74510.4326.313
Oct-0716.8510.7726.078
Nov-0716.99410.6626.332
Dec-0716.54710.3616.186
Jan-0816.87110.7776.094
Feb-0815.6979.9215.776
Mar-0814.5579.1455.412
Apr-0813.8558.6945.161
May-0812.9968.2044.791
Jun-0812.968.1984.762
Jul-0812.7868.1364.65
Aug-0812.627.9564.664
Sep-0812.9838.2424.741
Oct-0813.3738.5644.808
Nov-0813.0348.5414.492
Dec-0813.9299.3814.548
Jan-0914.88810.2284.661
Feb-0915.37110.7874.584
Mar-0916.70811.9594.749
Apr-0917.01311.9275.086
May-0916.85711.8315.026
Jun-0917.21511.9685.247
Jul-0917.22211.7835.44
Aug-0917.33511.6295.706
Sep-0917.87312.1685.705
Oct-0917.611.8065.794
Nov-0917.07211.0875.985
Dec-0916.4910.6055.885
Jan-1015.93910.1085.831
Feb-1015.6729.7965.876
Mar-1015.559.6035.947
Apr-1015.2619.3625.898
May-1015.4269.4375.989
Jun-1015.1119.1235.989
Jul-1015.0489.2915.757
Aug-1014.6239.2225.401
Sep-1014.6219.1475.474
Oct-1014.6419.1565.485
Nov-1014.7129.3225.39
Dec-1015.0279.4545.573
Jan-1114.1549.015.144
Feb-1114.0668.8735.192
Mar-1113.6268.8274.798
Apr-1113.9994.99
May-1114.2429.0875.155
Jun-1114.1369.0975.039
Jul-1114.0839.0325.051
Aug-1114.1699.0395.13
Sep-1113.9398.85.139
Oct-1113.8558.8594.996
Nov-1114.0348.9555.079
Dec-1114.7319.4065.325
Jan-1214.7729.3975.375
Feb-1214.0768.6765.4
Mar-1214.0928.7035.389
Apr-1214.3488.9255.423
May-1214.5129.1115.401
Jun-1214.7339.2495.484
Jul-1214.7799.285.499
Aug-1214.8749.4415.433
Sep-1215.0989.4935.606
Oct-1214.9029.3855.516
Nov-1215.1839.4315.753
Dec-1215.3719.5285.843
Jan-1315.899.796.1
Feb-1316.1369.8736.263
Mar-1316.88410.3526.532
Apr-1316.93710.2996.638
May-1317.23610.4366.8
Jun-1317.30310.4756.828
Jul-1317.47510.526.955
Aug-1317.36210.2367.126
Sep-1318.20410.7617.443
Oct-1318.69310.8947.799
Nov-1319.21911.1798.04
Dec-1319.00410.9498.054
Jan-1419.16711.187.987
Feb-1419.36811.4397.929
Mar-1419.48911.388.108
Apr-1419.5911.3128.278
May-1419.50911.2388.271
Jun-1419.64111.3928.248
Jul-1419.82611.2868.54
Aug-1419.6310.9738.657
Sep-1419.99511.1198.876
Oct-1420.58511.4279.159
Nov-1420.04810.9449.104
Dec-1420.46411.3789.086
Jan-1520.69511.5189.177
Feb-1520.10611.2768.83
Mar-1521.24911.739.52
Apr-1521.84511.77310.072
May-1520.34211.1669.175
Jun-1521.12511.9949.131
Jul-1521.17612.3368.84
Aug-1521.70813.2188.489
Sep-1520.94513.5667.378
Oct-1520.02713.1466.881
Nov-1519.63912.9846.655
Dec-1519.59112.8926.698
Jan-1619.07612.4666.61
Feb-1619.33512.7166.618
Mar-1619.10112.4466.655
Apr-1619.6112.7076.903
May-1620.03912.8347.206
Jun-1620.21512.7037.512
Jul-1620.08112.4297.652
Aug-1619.88712.3297.558
Sep-1620.77812.4678.311
Oct-1621.19512.6148.582
Nov-1621.48212.6838.8
Dec-1622.0113.0868.924
Jan-1722.11913.1179.002
Feb-1721.67613.1328.543
Mar-1722.61113.718.901
Apr-1722.56413.878.695
May-1722.25513.8698.386
Jun-1722.13213.9828.15
Jul-1722.14914.2557.894
Aug-1722.40114.4687.933
Sep-1722.10314.3167.787
Oct-1721.64414.1267.517
Nov-1721.48814.1087.381
Dec-1721.18514.0337.152
Jan-1821.00914.0816.928
Feb-1821.01414.0776.937
Mar-1820.45113.8456.606
Apr-1820.24113.8026.439
May-1820.83614.3126.524
Jun-1820.35214.0316.321
Jul-1820.26413.9576.306
Aug-1819.41913.3876.032
Sep-1818.6512.8165.834
Oct-1818.86913.2245.644
Nov-1817.80512.4675.338
Dec-1816.98111.8575.124
Jan-1916.41911.54.919
Feb-1916.8811.9864.894
Mar-1916.41811.5924.826
Apr-1916.59211.8064.785
May-1916.47111.7344.737
Jun-1916.6311.8664.764
Jul-1917.05312.2044.849
Aug-1917.88512.6485.237
Sep-1918.08413.0395.045
Oct-1918.53313.45.134
Nov-1919.28513.9325.353
Dec-1919.62814.2425.386
Jan-2019.3914.0825.308
Feb-2018.8613.6485.212
Mar-2019.2114.1765.034
Apr-2018.38413.4454.939
May-2016.4912.314.18
Jun-2017.48713.0324.455
Jul-2019.06514.434.635
Aug-2021.34616.3974.95
Sep-2022.51417.2455.269
Oct-2023.00317.6935.31
Nov-2023.99118.4775.514
Dec-2025.53319.5465.987
Jan-2127.62121.1756.446
Feb-2128.18421.2956.889
Mar-2129.75121.9817.77
Apr-2131.01722.9348.083
May-2132.51123.4689.044
Jun-2131.59822.6648.934
Jul-2131.96722.6669.302
Aug-2131.30521.8449.461
Sep-2130.82620.9969.83
Oct-2130.45120.29410.157
Nov-2132.1321.56110.568
Dec-2132.77522.00610.769
Jan-2233.221.88911.311
Feb-2232.22320.86311.36
Mar-2232.74621.10611.64
Apr-2231.82420.7411.084
May-2232.38721.20411.183
Jun-2230.97320.49710.476

The value of borrower refinancing of owner-occupier housing loan commitments between lenders rose 9.7 per cent to a new record high of $12.7 billion in June 2022.

“The value of owner-occupier refinancing, where the borrower changed lender, was 25 per cent higher in June compared to a year ago. As interest rates rose in recent months, borrowers sought loans with lower interest rates and lenders competed to attract them,” said Ms Keenan.

Across most states and territories, the value of new owner-occupier loan commitments fell. Victoria fell 7.1 per cent, following a 6.1 per cent rise in May, while smaller falls were seen in New South Wales (down 2.0 per cent) and Western Australia (down 4.7 per cent).

The number of new loan commitments to owner-occupier first home buyers fell 8.0 per cent in June 2022 to 9,393, close to the pre-pandemic level in February 2020 of 9,549. The number of these loan commitments fell across almost all states and territories, particularly Victoria (down 11.2 per cent), New South Wales (down 9.4 per cent) and Western Australia (down 13.8 per cent).

The 6.3 per cent national fall in the value of new investor loan commitments was driven by New South Wales (down 10.5 per cent or $439m), Victoria (down 3.4 per cent or $100m) and Western Australia (down 10.6 per cent or $78m). Queensland, South Australia and the Australian Capital Territory also fell, however both Tasmania and the Northern Territory saw small increases.

Housing finance loan commitments by property purpose and state, seasonally adjusted – June 2022

Aus *NSWVicQLDSAWATasNTACT
Owner-occupiers
Value :$20.5b$6.5b$6.0b$4.0b$1.2b$1.9b$0.3b$0.1b$0.5b
Value % change ** :-3.3%-2.0%-7.1%0.0%2.2%-4.7%-5.1%22.1%-6.2%
Owner-occupier first home buyers
Number % change ** :-8.0%-9.4%-11.2%-1.3%-1.9%-13.8%5.5%-21.5%-15.0%
Investors
Value % change ** :-6.3%-10.5%-3.4%-2.6%-3.2%-10.6%1.4%21.6%-4.3%

* Total Australia levels do not necessarily equal the sum of states, due to independent seasonal adjustment

** All movements are on a month-to-month basis

The value of new loan commitments for fixed term personal finance fell 15.2 per cent (seasonally adjusted) in June 2022, the largest fall in the series with the exception of April 2020. The fall was driven by a 14.4 per cent fall in lending for the purchase of road vehicles, as well as a 37.1 per cent fall in lending for personal investment. Lending for travel rose 17.6 per cent but was still 6.4 per cent below the pre-pandemic level in February 2020.

/ABS Public Release. This material from the originating organization/author(s) may be of a point-in-time nature, edited for clarity, style and length. The views and opinions expressed are those of the author(s).View in full here.