Mortgage growth crashes to record low

The Reserve Bank of Australia (RBA) has released its private sector credit aggregates data for the month of June 2019:

A chart showing the long-run breakdown in the components is provided below:

Personal credit growth (-0.2% MoM; -1.1% QoQ; -3.5% YoY) has plunged, whereas business credit growth (-0.1% MoM; 0.1% QoQ; 4.0% YoY) and housing credit growth (0.2% MoM; 0.7% QoQ; 3.5% YoY) are at least growing, albeit slowly.

A long-run breakdown of owner-occupied credit (0.25% MoM; 1.01% QoQ; 4.93% YoY) and investor credit (-0.04% MoM; -0.06% QoQ; 0.53% YoY) is provided below:

Overall annual mortgage growth has tanked to an all-time low, with sharp falls in owner-occupied credit growth partially offset by a small rebound in investor credit growth from record lows:

The below chart shows that quarterly housing credit growth also fell to the lowest on record in June:

Driven by investors:

Finally, the annual dollar value of housing credit issued also fell in June and is down $49 billion (-43%) since peaking in the August 2017:

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