by Sanjeev Sah | Sep 03, 2024 | Market Updates

Investor lending growth continued to outpace the growth of owner-occupiers in June, according to the latest data from the Australian Bureau of Statistics (ABS). 

ABS head of finance statistics Mish Tan said the total value of new loans for property investors, excluding refinancing, was 30.2% higher than a year ago, while loans for homebuyers rose by 13.2%. 

While the growth in the value of new investor loans was seen across all states and territories over the past year (June 2023 to June 2024), it was driven by New South Wales (up 27.3% or $901 million), Queensland (up 34.5% or $587m) and Western Australia (up 56.7% or $428m).  

Investor loans are on the rise as property investors are likely being attracted by: 

* Strong rental demand and rising rental yields 

* Expectations of capital growth in key markets 

These conditions create a favourable environment for property investment, encouraging more people to invest in housing.