Credit growth skyrockets for investors

Investor housing credit recorded its fastest growth rate in six months during February, according to new research.

The study by ANZ revealed that the volume of investor credit grew by 0.6 per cent in February – up from 0.3 per cent in January.

The major bank noted that it was the biggest growth the investor segment had seen in six months.

“This follows a period of much weaker growth, however, and could reflect an element of statistical volatility,” ANZ said.

“Nonetheless, signs of stabilisation in investor housing credit growth may suggest that the impact on this segment from last year’s regulatory changes have largely run their course. That said, we do not expect a sharp rebound in investor housing credit growth.”

Meanwhile, owner-occupier credit volumes also grew by 0.6 per cent in February after recording the same amount of growth a month prior, while total housing credit growth remained steady at 0.5 per cent.

Business credit volumes rose 0.7 per cent for the month, up from 0.6 per cent in January, while personal credit growth recorded another decline in February – down 0.1 per cent following a 0.2 per cent fall the previous month.

Total credit growth was at 0.6 per cent in February following a 0.5 per cent rise in the first month of 2016.

[Related: Property investors missing out on tax breaks]

 

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