 A welcome rise in the number of home loan approvals
The biggest gain was in the Australian Capital Territory, which gained 31% seasonally adjusted, followed by New South Wales which posted gains of 10.8% according to the ABS.
South Australia gained 10%, seasonally adjusted, and Queensland enjoyed a rise of 5.9%.
Victoria's home loan approvals were up 5.2%, followed by Western Australia with 5.1%, and Tasmania which crept up 3.9%.
"It's quite positive,'' ANZ housing economist Paul Braddock said. "It's starting to show signs we're past the nadir and that hopefully things are onward and upward from here.''.
Bloomberg reported that analysts were expecting a 3.5% increase in the month, instead, the figures rose by 6.4 per cent.
Numbers of loans for the purchase of new homes was up by a staggering 15.2% in the month, seasonally adjusted, highly suspected to be due to the increases to first home buyers grant which was tripled in October to $21,000 for home buyers purchasing newly constructed homes.
December marks the third consecutive rise in home-loan approvals, as cuts to interest rates and a $10.4 billion Government stimulus package - aimed in part at home buyers - begins to take effect.
Last Tuesday, the Reserve Bank slashed official rates by 100 basis points, with most banks and lenders passing on the full one per cent rate cut to home owners. Official cash rates are at a 40-year-low of 3.25% and home loan rates have fallen to well below 6%, down from nearly 10% six months ago.
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