WA and Queensland lead loan surge
A SIGNIFICANT boost in activity in Western Australia and Queensland has resulted in encouraging home loan approval figures nationwide, says mortgage broker Loan Market.
Loan Market corporate spokesperson Paul Smith said the Australian Bureau of Statistics (ABS) figures for August, 2012, show a 3.36 per cent rise in the number of home loan approvals from August, 2011.
Mr Smith said the August, 2012, result is up 1.78 per cent from July, 2012, and 5.18 per cent above the total of the previous six months.
He said WA was up 17.21 per cent on the average of the previous six months while fellow resource rich state Queensland had a 10.10 per cent increase over the same period.
"The home loan market is recovering, albeit at a cautious pace, from the low points it reached last year," Mr Smith said.
"States such as WA and Queensland have led the way and these numbers are in line with the positive economic indications in these states such as trade and consumer confidence figures.
"While we're seeing an increase in the uptake of loan approvals in this ABS data there is a heightening expectation that this spring will host a surge of activity. The latest RBA rate cuts should attract consumers as well as save money for existing home owners."
Mr Smith said there was also strong activity in Australia's Top End with home loan approvals in the Northern Territory 18.43 per cent higher than the average of the previous six months.
"At the other end of the scale, Tasmania was down 9.81 per cent over the same period despite seeing a 3.23 per cent rise in August 2012 from July, 2012," he said.