In contrast, unfortunately, recent problems with the data relating to banks’ owner-occupier and investor housing loans have worked in the other direction, complicating our understanding of what is going on in the housing market. These data problems have emerged as lenders have taken a closer look at their housing loans following increased supervisory scrutiny.
As lenders have looked more closely, what they have found has surprised and, to some extent, concerned us. There are two issues that are worth drawing your attention to. The first is that over the past six months there have been very large upward revisions to the value of investor loans outstanding, with offsetting downward revisions to owner-occupier loans.