FX.co ★ Australia Q1 Home Loans Drop 2.5% QoQ

In the first quarter of 2025, new owner-occupier loan commitments for dwellings in Australia fell by 2.5% from the previous quarter, amounting to AUD 53.2 billion. This marks a shift from a downwardly revised 3.7% growth in the fourth quarter of the previous year. The decrease is attributed to declines in loans for both first-home buyers, which dropped by 3.2% compared to a 1.1% increase in the fourth quarter, and non-first-home buyers, which fell by 2.6% following a 3.1% rise. Annually, however, the value of these loans surged by 13.1%. In parallel, total investment lending for homes experienced a 0.3% decrease, settling at AUD 32.4 billion—a slower decline compared to the previously revised 2.5% fall. On an annual basis, investment lending saw a significant rise of 16.0%.