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Australian Mortgage Market Hits Record $2.41 Trillion

Rising Property Prices Drive Unprecedented Growth in Home Loans

Australian Mortgage Market Hits Record $2.41 Trillion?w=400

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

The Australian mortgage market has reached a new milestone, with the total value of residential mortgages climbing to $2.41 trillion in November 2025.
This growth is largely attributed to escalating property prices and a surge in lending activity.

According to the latest data from the Australian Prudential Regulation Authority (APRA), the mortgage market experienced a monthly increase of 0.67% and an annual growth of 6.36%. Commonwealth Bank of Australia (CBA) led this expansion, adding $4.6 billion to its mortgage portfolio in November, marking a 0.76% increase. Macquarie Bank also demonstrated significant growth, with a 2.32% monthly rise, contributing to an impressive annual increase of nearly 24%.

The upward trajectory in home loans is closely linked to the rise in property values. Cotality's Home Value Index reported an 8.6% increase in 2025, the most substantial annual growth since 2021. This trend suggests that despite potential interest rate hikes in 2026, strong demand and limited housing supply are likely to sustain property price increases.

Projections indicate that the median house price in Sydney could rise by over $79,000 throughout 2026. Similarly, median house prices in Perth and Adelaide are expected to surpass the $1 million mark if current growth patterns persist.

For homeowners and prospective buyers, these developments underscore the importance of staying informed about market trends and considering financial strategies to manage mortgage commitments effectively. Exploring options such as debt consolidation loans may provide a pathway to streamline repayments and potentially reduce overall interest costs.

Published:Thursday, 29th Jan 2026
Author: Paige Estritori

Please Note: We do not endorse any specific products or companies. Some content is sourced from third parties, including press releases, and may not be independently verified for accuracy or completeness.

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