Figures released today by the Australian Bureau of Statistics show that the number of new housing finance commitments fell by 1.5 per cent in March, continuing a downward trend in home lending.

 

The trend estimate for the total value of dwelling finance commitments, excluding alterations and additions, fell by 1.6% compared with February. Owner occupied housing commitments fell 1.7% and investment housing commitments fell 1.3%.

 

In seasonally adjusted terms, the total value of dwelling finance commitments excluding alterations and additions fell by 0.1% compared with February, to $19.3 billion.

 

The ABS report noted that the trend estimates on a monthly basis can be distorted by a range of factors, including interest rates, supply constraints, consumer confidence and unusual influences. While last summer’s floods floods may have had an impact on these estimates, they could not be quantified.

 

More details of the ABS publication, Housing Finance, Australia, Mar 2011, are at  http://www.abs.gov.au/ausstats/abs@.nsf/mf/5609.0?OpenDocument