Invest
Big four bank reveals property prices predictions
Westpac chief executive Brian Hartzer has revealed he believes housing market will continue to cool as investor interest wanes.
Big four bank reveals property prices predictions
Westpac chief executive Brian Hartzer has revealed he believes housing market will continue to cool as investor interest wanes.

Speaking upon the announcement of Westpac’s 2018 full-year results on Monday, the CEO outlined the bank’s future outlook on the conditions of the housing market.
“We expect house prices to cool further, and investor demand to remain weak. On the other hand, demand from first home buyers is holding up. These dynamics are likely to lead to housing credit growth easing to 4 per cent next year, with total credit growth of 3.5 per cent,” he said.
“With around 70 per cent of Australian customers ahead on their repayments and delinquencies low, credit risks in the housing market currently remain low.”
According to Fairfax Media, Mr Hartzer asserted during his presentation that Westpac did not expect “a big drop in house prices”, despite his prior projections.

His statements come as the nation’s second largest bank reported flat full-year cash earnings of $8.07 billion, and cited customer refunds, difficult operating circumstances and higher funding costs as responsible for the lack of profit growth.
In its full-year report, Westpac’s Australian home loans were just under system growth, increasing by 4 per cent to $17.6 billion.
Investor property loans increased by 2 per cent, while owner-occupier lending grew by 6 per cent.
Principal and interest loans now comprise 61 per cent of the portfolio and represented 77 per cent of new flows. This is up from last year, with such loans accounting for 50 per cent of the portfolio.
Westpac suggested that the decrease in mortgage spread was attributed to customers changing from interest only to principal and interest loans, with such switches totalling $15.9 billion of interest only loans in the second half of the year, and changes in the make up of portfolios towards lower rates on new mortgages and lower margin products.

Property
North platform adds household reporting feature to boost adviser efficiency
AMP's North platform has launched consolidated household reporting across multiple client accounts, helping financial advisers streamline their client review processes. Read more

Property
What Adds The Most Value To Properties?
Wondering how to up the value of your property? Properties are worth a lot of money in general, but there’s always a way to maximise value. The good news is that most of the things you can do to ...Read more

Property
Centuria reports strong growth in alternative real estate sectors for FY24
Centuria Capital Group has reported significant growth in alternative real estate sectors for the 2024 financial year, driving stable performance and increased guidance for FY25. Read more

Property
How to leverage equity in your home for investment or renovation
Home equity, the value of your property minus any debts owed, is a powerful financial resource many homeowners in Australia can utilize to further their financial goals. Whether you're looking to ...Read more

Property
Exploring REITs: Real estate investment without buying property
Real Estate Investment Trusts (REITs) offer a compelling investment alternative for those interested in the real estate market but may not want to endure the complexities and capital requirements of ...Read more

Property
Retirement communities: a pivotal element in meeting Australia's housing targets
The Retirement Living Council (RLC) has recommended that retirement communities should be considered a vital part in the Australian Government's initiative to fulfill the Housing Australia Future Fund ...Read more

Property
Australians adjust financial strategies amid changing property market dynamics
The 2023 calendar year saw Australian borrowers acquiring a total of $300.9 billion in new loans for property purchases, marking a 12.7% decrease from the previous year. Read more

Property
Split home loans unlocking doors for Aussie buyers
Australians are teaming up to dive into the real estate market and seize the advantages of home ownership, with the trend of split home loans surging as family and friends unite to buy properties ...Read more

Property
North platform adds household reporting feature to boost adviser efficiency
AMP's North platform has launched consolidated household reporting across multiple client accounts, helping financial advisers streamline their client review processes. Read more

Property
What Adds The Most Value To Properties?
Wondering how to up the value of your property? Properties are worth a lot of money in general, but there’s always a way to maximise value. The good news is that most of the things you can do to ...Read more

Property
Centuria reports strong growth in alternative real estate sectors for FY24
Centuria Capital Group has reported significant growth in alternative real estate sectors for the 2024 financial year, driving stable performance and increased guidance for FY25. Read more

Property
How to leverage equity in your home for investment or renovation
Home equity, the value of your property minus any debts owed, is a powerful financial resource many homeowners in Australia can utilize to further their financial goals. Whether you're looking to ...Read more

Property
Exploring REITs: Real estate investment without buying property
Real Estate Investment Trusts (REITs) offer a compelling investment alternative for those interested in the real estate market but may not want to endure the complexities and capital requirements of ...Read more

Property
Retirement communities: a pivotal element in meeting Australia's housing targets
The Retirement Living Council (RLC) has recommended that retirement communities should be considered a vital part in the Australian Government's initiative to fulfill the Housing Australia Future Fund ...Read more

Property
Australians adjust financial strategies amid changing property market dynamics
The 2023 calendar year saw Australian borrowers acquiring a total of $300.9 billion in new loans for property purchases, marking a 12.7% decrease from the previous year. Read more

Property
Split home loans unlocking doors for Aussie buyers
Australians are teaming up to dive into the real estate market and seize the advantages of home ownership, with the trend of split home loans surging as family and friends unite to buy properties ...Read more