Fed: Housing finance jumps for new homes

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Fed: Housing finance jumps for new homes

CANBERRA, Aug 7 AAP - The home building industry received a boost in June with officialfigures today showing a healthy surge in finance to build new homes.

Allowing for seasonal impacts, lending to finance all home purchases climbed 3.2 percent or by 1,672 dwellings to 53,845 in June, the third monthly increase in a row, theAustralian Bureau of Statistics (ABS) said.

Lending to build new homes grew by 9.6 per cent to 6,085 dwellings, after falling inthe previous two months.

Lending to buy established homes climbed 2.7 per cent to 46,321, while lending to buynewly built homes slipped 3.8 per cent to 1,439, the ABS said.

Annually, housing finance was 1.7 per cent higher than it was 12 months earlier.

The ABS said the average-sized home loan in June was $157,000, down from May's $158,400.

The percentage of first home buyer commitments also fell, dropping to 17.5 per centof all home buyers, from 18.8 per cent, it said.

AAP jph/kjp/ph

KEYWORD: HOUSING