Refinancing continues to provide brokers with the greatest business opportunities, with new data showing that refinancing now accounts for more than 30 per cent of all owner-occupied housing lending commitments.
According to the Australian Bureau of Statistics, refinancing represented 30.8 per cent of all owner-occupied housing lending commitments in October 2011.
Refinancing has experienced some of the highest growth over 2011.
Between October 2010 and October 2011, the average monthly growth of lending commitments has been just 0.1 per cent.
Owner-occupier lending commitments increased, on average, by 0.5 per cent each month, while investment housing lending commitments fell 0.5 per cent on average.
Year-on-year, the value of new investment housing lending commitments is down 9.3 per cent, while lending commitments for owner-occupied housing are up 3.5 per cent.
When refinancing is excluded, the value of lending commitments for owner-occupied housing is actually down 2.9 per cent in year-on-year terms.
This data will fail to surprise brokers.
Earlier this year, a The Adviser straw poll asked brokers where business was currently most active.
Of the 149 respondentsl, 61.1 per cent indicated that refinancing was providing them with the greatest business opportunities.
Just 16.8 per cent said investors were active, while 12.8 per cent said first home buyers and 9.4 per cent said upgraders/downsizers.