Refinancing activity tracking down in biggest states

Refinancing settlements have declined in four biggest states in October, according to the latest data from PEXA Insights.

PEXA Insights tracks mortgage settlements across New South Wales, Victoria, Queensland, and Western Australia.

New South Wales reported the biggest dip in refinancing activity over the month, down by 13.6%.

Victoria followed with an 11.8% decline in refinancing activity.

Queensland and Western Australia also registered respective decreases of 11% and 9.4%.

Despite these monthly losses, refinancing activity in these four states remained higher compared to a year ago, with Western Australia hitting 53% annual increase.

New loans also trending lower

PEXA Insights also showed a decline in sale settlements with new loans across these four states.

The most significant decline was 5.4%, which was recorded in Western Australia.

Interestingly, Western Australia was the only state to also record an annual decline in new loan settlements at 0.8%.

Major banks regaining their customer base

The performance of major banks and non-major lenders varied across the four states.

In New South Wales, major banks increased their position for new mortgages, overtaking non-majors, which fell for the first time since June.

Majors also dominated in Victoria while non-majors remained in a positive position despite recording a decline in new loans.

It was the opposite of what happened in Queensland, where major banks witnessed a decline in new loan activity while non-majors showed an increase.

In Western Australia, activity decline for both major banks and non-major lenders but the latter remained well ahead of the majors.

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Photo by Andrea Natali on Unsplash.