Investors not deterred by clampdown, APRA reveals

by Julia Corderoy26 Aug 2015
Australians have not been deterred from investing their money in property despite the clampdown in investment lending, the latest APRA statistics reveal.

New investment loans to households surged by 20% in the June 2015 quarter, the regulator’s quarterly property exposures statistics reveal, with almost $41 billion worth of investment loans approved in the quarter. 

New loans to owner-occupiers also recorded a jump in approvals, however it was not as significant as those to investors. New owner-occupied loans increased by 16%, with $55 billion loans approved over the June quarter.

The total value of investment loans on the books of Australian lenders was $518.3 billion at the end of the 2015 financial year. This represents 39% of all home loans, compared to 35.5% at the end of the 2014 financial year.

The major banks approved $33.5 billion worth of investment loans over the June 2015 quarter, a 20% increase from the March quarter. The total value of investment loans on the books of the majors at the end of the June 2015 was $437.5 billion, which represents 41% of their total residential loan book.


  • by SEQ Broker 26/08/2015 8:57:58 AM

    Hehe --> Llike anyone thought APRA was barking up the right tree anyway. They should have asked the MFAA and FBAA - then they may have been able to produce an effect and potentially not simply cost mum and dad investors 0.2%.

  • by sigh.... 26/08/2015 9:34:34 AM

    Like it was going to show in settlements immediately. Really.....these people need to get in the real world. Why not wind up APRA; and give the responsibility to ASIC. Too many large salaries for endless a country full of middle men shuffling deckchairs to give the illusion of progress to justify salaries.

  • by I'm just your average Broker 26/08/2015 11:32:20 AM

    I think the first 2 comments have missed the point. From the figures presented the government is spot on with it's concerns that investment lending is at worrying levels and affecting property values. Also, if an investor decided not to proceed with an investment property purchase because of a 0.25% increase in rates then the investment was never worth considering anyway. Hence, investors should not be price sensitive at this stage.