APRA must act on investor lending

Unless APRA takes an aggressive approach to investor lending, there is a real risk that rate cuts will drive property prices higher while undermining the business sector.

Property investors continue to drive credit growth across the country. Lending otherwise remains quite muted -- although there has been a modest pick-up in business credit -- reflecting the high existing stock of credit and the subdued outlook for the Australian economy.

Housing credit rose by 0.6 per cent in December to be 7.1 per cent higher over the year. Growth continues to be concentrated among investors, with credit outstanding to this segment rising by 10.1 per cent over the year to December.

{{content.question}}

{{ twilioFailed ? 'SMS Code Failed to Send…' : 'SMS Code Sent…' }}

Hi {{ user.FirstName }}

Looks like you've already taken a free trial

Please enter your payment details

We have sent you a code via SMS to {{user.DayPhone}}

please enter this code below to activate your membership

We cannot send you a code via SMS to {{user.DayPhone}}

If you didn't receive SMS code please

SMS code cannot be sent due to: {{ twilioStatus }}

Please select one of the options below:

Looks you are already a member. Please enter your password to proceed

Please untick this box when using a public or shared device


Verify your mobile number to unlock a FREE trial

Please sign up for full access

Updating information

Please wait ...

  • Mastercard
  • Visa
Mastercard

The email address you entered is registered with InvestSMART.

Please login or select "Don't know password"

Please untick this box when using a public or shared device


Register as a new member

(using a different email)

Related Articles