PHOTO: Aussies are borrowing more money than ever before to purchase property. (Peter Rae)

Australians are borrowing more money for property than ever before, new data released by the Australian Bureau of Statistics showed today.
The total value of new loan commitments for housing reached a record high in November 2020, rising 5.6 per cent to $24 billion.
The value of new owner occupier home loan commitments – not investors but people buying to live – rose 5.5 per cent to $18.3 billion.
That’s almost a third higher than it was in November 2019, prior to the COVID-19 pandemic.
ABS head of finance and wealth, Amanda Seneviratne, said most of the money was coming in for homes that already existed.
“Loan commitments for existing dwellings rose 5.9 per cent and were the largest contributor to the rise in November’s owner occupier housing loan commitments,” Ms Seneviratne said.
“The value of construction loan commitments grew 5.6 per cent in November, rising 75 per cent since July. This follows the implementation in June of the Government’s HomeBuilder grant in response to COVID-19.
“Other federal and state government incentives and ongoing low interest rates also contributed to the continuing growth in new housing loan commitments.”