Home buying intentions saw a surge in February, according to research by the Commonwealth Bank of Australia (CBA). This is a good sign for the Australian economy in 2021, but what does it mean for buyers?
Driven mainly by the very low interest rates that many lenders are offering, both home loan applications and Google searches were up in February.
The lending indicators data from the Australian Bureau of Statistics (ABS) for January 2021 showed that new loan commitments (seasonally adjusted) spiked by 10.5% for housing. It broke the $22-billion mark for the first time to hit $28.8 billion.
Australian property prices rose 2.1% in February; the fastest month-on-month surge recorded nearly in two decades.
CBA’s House Spending Intentions (HSI) also reveal a rise in Australian property prices up to 8% in 2021 and 6% in 2022.
What does this mean to you as a borrower?
People are still keen to buy, so property prices will continue to rise with significant demand for borrowers in the market.
Our mortgage brokers are aware of different lenders’ pre-approval policies and can help you apply with a favourable lender.
Call us on 1300 889 743 or complete our free assessment form to discuss with one of our experts and get a quote from a lender that will be best for your situation.