NSW investor numbers tumble 20% AFG

AFG, Australia’s largest mortgage broker, has reported investment loans moderated in NSW from 49.8% in May to 41.6% in June.

Investment loans had been running at an average of 49.5% of all loans in NSW for the previous 12 months.

Elsewhere in Australia, the same moderating trend was repeated, with investment loans declining in SA from 41.8% to 36.8%, in QLD from 36.1% to 34.1%, in VIC from 36.5% to 35.7% and in WA from 31.8% to 31.2%.

Brett McKeon, AFG managing director suggested the figures indicated that APRA controls are starting to take effect, but not at the expense of the overall mortgage market.

"If this trend continues, it should help allay concerns about overheating in Sydney, in particular, as investment levels there come back into line with the sustainable, long term, national average.”