Increased confidence pushes average mortgage size up: AFG

Australian homeowners are taking on more debt, with the average size of a new mortgage rising to $354,000 in July, AFG revealed yesterday.

AFG said borrowers in New South Wales, Queensland and Victoria were particularly eager to take on more debt.

The average mortgage size – based on AFG lodgements – hit a new record of just over $339,000 in Queensland, while the average mortgage sizes for New South Wales ($407,000) and Victoria ($321,000), though lower than some of the peaks recorded in late 2008, were the highest for 2009.

“There seems to be a new sense of optimism in the residential market, with the return of more investor buyers,” AFG general manager sales and operations Mark Hewitt said.