Australia’s property investor borrowing rises at fastest rate in a decade - despite interest rate rises
Property investor borrowing in Australia grew by 9.6% in the year to March, reaching $42bn, the fastest pace since 2015, according to the Reserve Bank of Australia. This surge occurred despite rising interest rates and increasing mortgage costs that have slowed owner-occupier lending. Investor activity has outpaced first-home buyers, with banks reporting a rising share of investment loans and interest-only arrangements.
- ▪Bank loans to Australian property investors increased by $42bn in the year to March, a 9.6% rise, the fastest rate since September 2015.
- ▪Owner-occupier loan growth slowed to 6.2% over the same period, as higher interest rates deterred buyers.
- ▪ANZ and NAB reported that over two-fifths of their new home loans were for investment purposes in the six months to March.
- ▪Investor loan applications have risen while first-home buyer applications dropped by a third after the latest rate hike.
- ▪The Albanese government may scale back tax breaks for property investors in the upcoming budget, potentially affecting future investment activity.
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Bank loans to Australian investors grew by $42bn in the year to March, a 9.6% increase and the fastest rate since September 2015, the RBA says. Photograph: Joel Carrett/AAPView image in fullscreenBank loans to Australian investors grew by $42bn in the year to March, a 9.6% increase and the fastest rate since September 2015, the RBA says. Photograph: Joel Carrett/AAPHousingAustralia’s property investor borrowing rises at fastest rate in a decade - despite interest rate risesOwner-occupier mortgage growth slowed under growing costs while investor loans grew by $42bn in the year to March, a 9.6% increase Get our breaking news email, free app or daily news podcast Luca IttimaniMon 4 May 2026 11.00 EDTLast modified on Mon 4 May 2026 11.01 EDTSharePrefer the Guardian on GoogleProperty investor…
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