Investor mortgage revival picks up pace
The revival of the investor mortgage market continues, with growth in new lending to investors outpacing lending to owner-occupiers for the fifth month in a row.According to the latest Australian Bureau of Statistics housing finance data, the value of new investment housing finance commitments increased by 4.6 per cent in September, compared with the previous month (in seasonally adjusted terms).The investor segment has had steady growth since May, while the owner-occupier segment has been more subdued.New lending to owner-occupiers was up 0.9 per cent in September, compared with the previous month.Total new mortgage lending was up 2.3 per cent in September.The A$32.3 billion of new dwelling finance in September was down 0.2 per cent on lending in the same month last year.The average loan size in September was $367,600 - up from $363,000 in August and the highest monthly average since December last year.First-home buyers accounted for 13.1 per cent of new lending.Comparison site Mozo has reported more competition in the investor mortgage market, with a number of lenders cutting investor rates in October. According to the most recent Mozo Banking Roundup, Auswide Bank, Bank of Sydney, IMB Bank, ING Direct, Police Credit Union and Suncorp all cut variable investor loan rates in October.