Mining states see surge in loan enquiries

by Caroline Dann25 Jul 2012

A recent report shows a surge in loan enquiries in key mining states of WA and the Northern Territory, which should be welcome news for brokers in the region.

Veda’s Quarterly Consumer Credit Demand Index in Q2 found demand for both personal and housing loans increased significantly in the NT and WA.
In comparison, mortgage enquiries in SA, QLD and Tasmania flattened in the same period.
Angus Luffman, head of consumer risk at Veda, said the results pointed to an overall stabilisation of the mortgage market, with an expected spike in mining regions.
“Mortgage enquiries are a good lead indicator of housing demand. This stabilisation in mortgage enquiries suggests housing turnover is also stabilising.
"Lower interest rates and an improving housing affordability index align with the observed stabilisation in enquiries, after many quarters of decline,” he said.