Register For Our Mailing List

Register to receive our free weekly newsletter including editorials.

Home / 468

A six-chart snapshot of June 2022 lending data

Lending data for June 2022 show that annual growth in new housing lending remained negative, approaching levels not seen since the restricted lending period around 2019. Reflecting the recent rise in interest rates, both fixed and variable lending rates are well above their pre pandemic levels. However, consumer lending for holiday finance and car finance increased.

Housing lending and rates

Annual growth in new housing lending remained negative with the weakness led by lending to owner-occupiers and also lending for the purchase of existing dwellings.

Borrowing costs for both owner-occupiers and investors have risen sharply in recent months. Both fixed and variable rates are now well above their pre-pandemic levels.

The fixed share of new lending was little changed in June. It remains around its pre-pandemic levels, having fallen sharply as fixed lending rates have risen rapidly.

New lending for alterations and additions was unchanged in the month at a high level. On a smoothed basis, renovation lending appears to be at or close to a peak.

Consumer and business lending

On a smoothed basis, consumer lending for both holiday finance and car finance increased but there was a tick down in household goods finance.

Business lending tends to be quite volatile, but on a smoothed basis, there are signs of a softening in new business lending.

 

Stephen Wu is an Economist for Global Economic & Markets Research at Commonwealth Bank of Australia. This report is for informational purposes only and is not to be relied upon for any investment purposes, as it has been prepared without taking into account your objectives, financial situation (including your capacity to bear loss), knowledge, experience or needs.

 


 

Leave a Comment:

     

RELATED ARTICLES

Financial pathways to buying a home require planning

Can Aussie banks rediscover their glory days?

Banks are punishing the most vulnerable

banner

Most viewed in recent weeks

Pros and cons of Labor's home batteries scheme

Labor has announced a $2.3 billion Cheaper Home Batteries Program, aimed at slashing the cost of home batteries. The goal is to turbocharge battery uptake, though practical difficulties may prevent that happening.

Welcome to Firstlinks Edition 605 with weekend update

Trump's tariffs and China's retaliatory strike have sent the Nasdaq into a bear market with the S&P 500 not far behind. What are the implications for the economy and markets, and what should investors do now? 

  • 3 April 2025

Howard Marks: the investing game has changed

The famed investor says the rapid switch from globalisation to trade wars is the biggest upheaval in the investing environment since World War Two. And a new world requires a different investment approach.

4 ways to take advantage of the market turmoil

Every crisis throws up opportunities. Here are ideas to capitalise on this one, including ‘overbalancing’ your portfolio in stocks, buying heavily discounted LICs, and cherry picking bombed out sectors like oil and gas.

World's largest asset manager wants to revolutionise your portfolio

Larry Fink is one of the smartest people in the finance industry. In his latest shareholder letter, the Blackrock CEO outlines his quest to become the biggest player in private assets and upend investor portfolios.

Welcome to Firstlinks Edition 606 with weekend update

The boss of Australia’s fourth largest super fund by assets, UniSuper’s John Pearce, says Trump has declared an economic war and he’ll be reducing his US stock exposure over time. Should you follow suit?

  • 10 April 2025

Latest Updates

Economics

Does Buffett’s farewell represent peak America?

Buffett's surprise decision to step down as Berkshire Hathaway's CEO sparked reflection on his legendary legacy and concern for America’s future, as he warned of unsustainable deficits and possible cracks in U.S. exceptionalism.

Taxation

Labor should focus on cutting Government spending

Reining in the Government's appetite for spending wouldn't just ease the country's fiscal burden. It would also clear the way for the meaningful tax reforms that are needed to boost Australia's ailing productivity.

Economy

The Liberals need to return to Menzies’ values

The former Liberal Minister and Chief of Staff to John Howard gives a blunt assessment of the election defeat and how the party needs to get back to its roots and merge its values with the needs of the community.

Gold

Gold $5,000?

Following the gold price's recent surge, headlines have popped up with increasingly bold predictions - US$5,000, even US$20,000 an ounce? This looks at the fundamentals and the credibility of these bullish predictions.

Economy

Are pension rules impacting fertility?

Australia’s push to delay retirement has boosted workforce participation - but at a cost. New research shows the measures have unintentionally impacted fertility rates, and the trend will be hard to reverse.

Investment strategies

Profiting from panic: inside the mind of a contrarian investor

Recent years have been challenging for contrarian investors, though 2025 has brought wild market swings, and with it, more opportunity. MFS' Zahid Kassam discusses contrarianism and his favourite global stocks.

Economics

America's green transition is taking a beating

The green transition in the US has made great progress in recent years, but the wheels are falling off. This is largely due to economic pressures, lack of financing, and the new tariffs instituted by Trump.

Sponsors

Alliances

© 2025 Morningstar, Inc. All rights reserved.

Disclaimer
The data, research and opinions provided here are for information purposes; are not an offer to buy or sell a security; and are not warranted to be correct, complete or accurate. Morningstar, its affiliates, and third-party content providers are not responsible for any investment decisions, damages or losses resulting from, or related to, the data and analyses or their use. To the extent any content is general advice, it has been prepared for clients of Morningstar Australasia Pty Ltd (ABN: 95 090 665 544, AFSL: 240892), without reference to your financial objectives, situation or needs. For more information refer to our Financial Services Guide. You should consider the advice in light of these matters and if applicable, the relevant Product Disclosure Statement before making any decision to invest. Past performance does not necessarily indicate a financial product’s future performance. To obtain advice tailored to your situation, contact a professional financial adviser. Articles are current as at date of publication.
This website contains information and opinions provided by third parties. Inclusion of this information does not necessarily represent Morningstar’s positions, strategies or opinions and should not be considered an endorsement by Morningstar.