The mortgage market is picking up momentum, but the rate of growth is glacial. Reserve Bank figures released show that the annual rate of growth in housing finance has increased from 4.4 per cent at the start of the year to five per cent in October.
Investors are driving the growth. The value of investor housing loans increased by 0.6 per cent in October and by 6.4 per cent in the 12 months to October.
The value of owner-occupier mortgages rose by 0.4 per cent in October and by 4.3 per cent in the 12 months to October.
Source: Banking Day