More South Australians commit to real estate purchases
Favourable economic conditions and a return in consumer confidence appear to be having an impact on South Australia's residential property sector, recent figures suggest.
According to new home lending data from the Australian Bureau of Statistics (ABS) released this week (March 15), the total value of house purchase loans spiked 3.5 per cent in January - seasonally adjusted - compared with the month before.
The ABS research revealed the average loan value for a new property was $254,000, with mortgages for construction hovering at $239,000.
The data, which also showed the value of loans for new home purchases in the three months to January increased 15.7 per cent, has been described as "encouraging" by the state's peak building body.
"These figures show some encouraging signs and indicate that some of the policy interventions are having desirable effects in the market," Robert Harding, Housing Industry Association regional executive director of South Australia, said.
However, while the outlook for the residential property market appears positive, Mr Harding said it was too soon to call it a recovery.
"The picture painted by the most recent housing market indicators is mixed, so we cannot say definitely that a housing recovery has commenced," he explained.