ADI owner-occupier book grew $5.3bn: APRA

The Australian Prudential Regulation Authority (APRA) has released its monthly authorised deposit-taking institution (ADI) statistics for August 2023, revealing that the total mortgage book of Australian ADIs rose from $2.11 trillion to $2.12 trillion.

Both owner-occupier and investor loan books revealed an upward trajectory in the volume of loans held when compared to July 2023.

In August, the volume of owner-occupier loans held by Australia’s banks rose by $5.3 billion (compared to $3 billion reported in July), holding steady above the $1.43 trillion mark.

Investor loans for the month also grew from $687 billion in July to $689 billion in August, up by approximately $1.8 billion, revealing slight recovery from July’s slowdown of a $1 billion increase.

How did the major banks fare this month?

The Commonwealth Bank of Australia (CBA) suffered yet another month of losses across its mortgage portfolio, revealing a drop from $544 billion in July to $543 billion in August, down by $1.4 billion.

CBA’s owner-occupier loan book dropped from $364 billion in July to $362 in August, while its investor loan book saw only a marginal decrease, remaining at $180 billion.

Westpac saw the largest growth to its total loan book out of all of the major banks for this period with an increase of $2.8 billion, up from $451 billion to $454 billion. Westpac’s owner-occupier loan book contributed to the majority of this growth, up by $2.1 billion from $295 billion to $297 billion.

ANZ’s total loan book grew from $281 billion to $283 billion, up by approximately $1.9 billion. Its owner-occupier book grew from $187 to $188 billion, while its investor loan book saw the largest growth out of the major banks, up from $93 billion to $94 billion.

Excluding CBA, NAB had the lowest amount of growth among its cohorts. The major bank’s total loan book grew by around $1 billion, up from $310 billion to $311 billion, largely due to growth in its owner-occupier book, which grew from $201 billion to $202 billion. NAB’s investor loan book only showed modest growth, remaining above $108 billion.

[RELATED: Owner-occupier growth drops more than 66%: APRA]