The booming residential rental market continues to instil confidence in property investors who are returning to the market in greater numbers, particularly in Sydney.
The latest figures from the Australian Bureau of Statistics show new loan commitments for property investors rose 0.9 per cent nationwide in May, driven in largely by the 3.2 per cent monthly rise in NSW.
Mortgages were up 23.7 per cent for investors over the 12 months, according to the ABS.
The key driver behind this has been the rental market, where yields are on the rise due to rising rents and extremely low vacancy rates. CoreLogic reported that rental yields for Sydney apartments rose from 3.15 per cent to 3.31 per cent in the 12 months to the end of March.