The toll of interest rate hikes on SA’s property market revealed

New data reveals loan lodgements in SA have dropped 25 per cent since January, before the rate rise cycle began. Fewer South Australians are taking out mortgages now compared to at the start of the year – further proving just how much interest rates hikes have impacted the property market. Loan Market’s October loan trends report reveals lodgements in SA have dropped 25 per cent since January, before the rate rise cycle began. Credit expert at Loan Market Shay Waraker said buyers were likely being more cautious as property prices declined and interest rates climbed. “With borrowing capacities impacted by increasing rates, buyers may be waiting to see if prices fall further before jumping into the market,” she said. The biggest decline in loan lodgements was recorded among investors at 39 per cent, followed by owner-occupier upgraders (25 per cent – the highest of any state) then first-home buyers (10 per cent). Loan Market credit expert Shay Waraker. In addition to the four rate hikes so far this year, investors have also bore the brunt of budget changes to capital gains tax and negative gearing. Meanwhile, while the rate hike cycle in 2026 has driven a decline in loan lodgements, ...