The RBA's August mortgage figures are worrying.
The RBA's August mortgage figures are worrying.

Property lending softens again: RBA

The pace of lending to property buyers grew only slightly in August, below the rate in July, according to statistics from the central bank that have defied economists' expectations.

The numbers showed overall private sector credit grew 0.2 per cent - below market consensus forecasts of a 0.3 per cent rise - and that credit for mortgages increased 0.2 per cent compared to a 0.3 per cent rise in the previous month while credit to business was up 0.2 per cent and personal credit fell 0.2 per cent.

The financial aggregates data released by the Reserve Bank of Australia on Monday indicated overall credit rose 2.9 per cent over the past year as housing credit grew 3.1 per cent - the slowest growth rate since records started in 1976 - and business credit gained 3.4 per cent as personal credit fell 3.4 per cent in the 12 months to August.