Global Power | Local Knowledge | Uniquely Personal

Consumers spending more on home finance

New ABS statistics show home finance commitments are on the rise.

It seems consumers are happy to spend more money on their home finances as new data shows the value of this is on the rise nationwide.

According to the latest figures from the Australian Bureau of Statistics (ABS), financial commitments on owner occupied housing and investment property, excluding refinancing, rose by 1.2 per cent from March to April this year. The total value of these has risen to $14.5 billion and $8.1 billion respectively.

It is thought that this growth in housing finance is caused by consumers trying to lock in the record low interest rates available in Australia at the moment. Indeed, the Reserve Bank of Australia has cut its benchmark rate to 2.75 per cent.

Since then, there has been increased interest in the Australian property market, which has been shown by weekend auction results in areas such as Sydney and Melbourne.

President of the Real Estate Institute of Australia, Peter Bushby, said: "It’s encouraging to see buyers responding to interest rate cuts and the stronger outlook for housing."

Posted by Craig Francis

DISCLAIMER: All information provided is of a general nature only and does not take into account your personal financial circumstances or objectives. Before making a decision on the basis of this material, you need to consider, with or without the assistance of a financial adviser, whether the material is appropriate in light of your individual needs and circumstances. This information does not constitute a recommendation to invest in or take out any of the products or services provided by SMATS Services (Australia) Pty Ltd or Australasian Taxation Services Pty Ltd.

COPYRIGHT: All information provided is protected by international copyright laws. You may not copy, reproduce, distribute, publish, display, perform, modify, create derivative works, transmit, or in any way exploit any such content, nor may you distribute any part of this content over any network. Copying or storing any content is expressly prohibited without prior written permission of SMATS Group or the copyright holder identified in the individual content's copyright notice. For permission to use the content on please contact

Subscribe Now