The speculator frenzy that has swallowed Sydney’s housing market marches on, with today’s Lending Finance data for February, released by the ABS, once again smashing all records, with both the value and proportion of mortgages going to New South Wales investors surging to another all time high.
As shown below, the value of investor loans in New South Wales (read Sydney) continues to rocket, with Victoria (read Melbourne) – the second hottest market – also experiencing strong growth:
According to the ABS, investor finance commitments in New South Wales in February were 11.7% higher than February 2014. New South Wales investor loans were also up by 31.2% in rolling annual terms in the year to February 2015, well above the national average increase of 22.3%. Nevertheless, investor demand appears to be slowing ever so slightly.
As at February 2015, investors accounted for an astonishing 57.9% of total housing finance commitments (excluding refinancings) in New South Wales (Sydney) – a new record. Victoria’s (read Melbourne’s) share of investor mortgages also hit a record high 48.2% in February:
Putting the two charts together for New South Wales (Sydney) yields the following madness:
Seriously, how long can APRA ignore this nonsense?
