Today we continue our analysis of the latest results from our Household Surveys by drilling down into the segment specific analysis, having in our previous post looked at the changing dynamics across our household segments.
We start with the Property Investor segments, which are becoming significantly less active thanks to a tightening of lending standards, higher mortgage rates and more limited capital growth. As a reminder the latest available ABS data shows that lending flows to investors is slowing, and especially interest only loans, and the number with interest only loans who are now being forced to move to the more expensive principle and interest loans is rising.
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal.
He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.