The Reserve Bank of Australia (RBA) has released mortgage credit data for December, with the overall stock of mortgages growing by just 1.2% in the fourth quarter of 2022 – the slowest growth since January 2021:
As shown above, quarterly mortgage growth has declined for six consecutive months following the commencement of the Reserve Bank of Australia’s (RBA) aggressive monetary tightening.
Both owner-occupier and investor mortgage growth have fallen sharply, registering quarterly growth of just 1.3% and 0.8% respectively in December:
The growth in outstanding mortgages should continue to fall for the foreseeable future given the RBA is expected to lift the official cash rate further over coming months, starting next week.
This rise in mortgage rates will restrict borrowing capacity further, tempering home buyer demand.
