Speaking at a parliamentary hearing, Comyn pointed out that current credit growth rates may exceed what regulators find sustainable. According to the Australian Bureau of Statistics, new loan commitments for dwellings rose 6.4% in the third quarter of 2025. Additionally, the Reserve Bank of Australia noted that total housing credit growth has surpassed post-global financial crisis levels, driven by increased investor activity fueled by low interest rates.
CBA led mortgage growth among Australian banks, increasing its mortgage portfolio by 6% to A$664.7 billion in the fiscal year ending June 30. Despite the high demand, Comyn expects a cooling in housing demand due to subdued expectations for interest rate cuts, projecting the cash rate will likely stay at 3.6% through 2026 because of persistent inflation.
These developments highlight the delicate balance between stimulating economic growth through accessible credit and maintaining financial stability. Prospective homebuyers and investors should remain vigilant, considering the potential for future policy adjustments aimed at tempering the housing market.
Published: Monday 1st December, 2025
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