Recent research has revealed that housing credit is currently rising at its slowest annual pace since June 2014.
According to CoreLogic’s weekly Property Pulse for the week ending 30 October, housing credit has increased by just 6.4 per cent year-on-year, its slowest annual pace since June 2014.
Owner occupier credit grew by 0.5 per cent month-on-month, while investor credit rose by 0.6 per cent, with year-on-year figures of 7.3 per cent and 4.8 per cent respectively.
The report found that the monthly growth in owner occupier credit in September was the slowest since May 2015, while the monthly change in investor credit was the highest since 2015.
“This data shows a subtle shift in mortgage demand away from owner occupiers and toward investors,” the report commented.
Auction clearance rates have also slipped lower from the previous week, falling from 2,680 to 2,253.
Melbourne recorded an auction clearance rate of 77.5 per cent for the week, down from 80.6 per cent over the prior week.
Sydney posted similar results, with the city’s auction clearance rates dropping from 82.6 per cent to 80.5 per cent during the same period.
The report also found that the number of homes for sale over the past four weeks have also seen a decline. During this period, there were 49,431 newly advertised properties added to the market nationally which was -2.8 per cent lower than a year ago.
The 238,773 total properties advertised for sale were -2.6 per cent lower than a year ago.