Tighter lending
Housing credit tightened as expected in May 2018, especially to investors.
Indeed the growth in lending to investors is slowing quickly, essentially now down to nil.
With fewer interest-only loans out there in the market now outstanding investor credit accounted for 33.5 per cent of housing credit, the lowest share in 5 years.
Housing credit growth was 5.8 per cent over the year to May 2018, well down from 6.6 per cent a year earlier.
Anecdotally a greater volume of mortgage applications is being rejected.
The Housing Industry Association (HIA) reported today that new home sales declined by a further 4.4 per cent in May, to be 12.8 per cent below the most recent cyclical peak.
Money growth slows
Anecdotally a greater volume of mortgage applications is being rejected.
The Housing Industry Association (HIA) reported today that new home sales declined by a further 4.4 per cent in May, to be 12.8 per cent below the most recent cyclical peak.
Money growth slows
There was negative growth in both business and personal credit in the month of May.
Broad money growth is now at the lowest level since October 1992.
Number one in that month was Eye of the Tiger by Survivor!
