The RBA's Board Minutes reconfirmed its concerns about "difficulties faced by developers in obtaining finance and the high cost of bringing new supply to market":
Members discussed developments in the housing market. Estimates from private-sector data providers indicated that housing prices had continued to rise at a robust pace in October. Housing lending to owner-occupiers was growing at a solid rate, although growth in lending to investors was fairly subdued. Data for building approvals, including figures for October, which were released during the meeting, continued to show divergent trends: approvals for houses were now well above the lows seen in late 2008, but approvals for apartments remained around the lowest levels in more than a decade. The latter reflected both difficulties faced by developers in obtaining finance and the high cost of bringing new supply to market. Members also discussed the particular challenges posed by high levels of resources sector investment, including the supply problems and high housing prices that were already presenting challenges in some regions.
