Mortgages just keep getting bigger
The average new mortgage arranged in Australia in November reached $367,000, the highest on record, according to AFG, Australia’s largest mortgage broker. The AFG Mortgage Index shows that mortgage sizes have been on the rise since the middle of the year, having increased by 6.4% since May.
Supporting recent reports of increasing property prices, average mortgage sizes have grown particularly strongly in Victoria – up 12.1% since May and New South Wales – up 10.7%, but less so in WA, where they rose by 3% and Queensland, where they have held steady since May.
Overall monthly sales of mortgages in November declined for the second month in a row, off the back of increasing interest rates and sharply declining First Home Buyer numbers. First Home Buyers accounted for just 13.7% of all mortgages arranged in November, compared to 28.1% at their peak in March this year.