Cumulative mortgage loan applications for the first nine months of 2023 (9M 2023) amounted to RM337 billion.
While this was a decline of 3.2 per cent year-on-year (YoY), it is, however, still higher than pre-pandemic levels.
Mortgage loan applications increased in the third quarter of 2023 (+1.3 per cent quarter-on-quarter, or QoQ) on resilient July and August numbers.
However, September 23 mortgage loan applications saw a decrease of 11.4 per cent month-on-month (MoM) and a flattish YoY (-0.1 per cent), said UOB Kay Hian.
Loan approvals for mortgages, meanwhile, remained resilient and could also remain flat for the rest of this year.
Approved mortgage loans in 9M 2023 rose to RM144 billion (+1.7 per cent YoY) despite lower mortgage applications, which in turn brought the approval rate to 43 per cent (from 41 per cent in the same period last year).
In the third quarter of 2023 (3Q2023), the total approved loans for residential property remained flat, with just about a 0.65 per cent increase in QoQ, UOB Kay Hian said in a note.
Total approved loans were weaker in September 23 (-14.5 per cent MoM) in tandem with weaker loan applications, contributed by the surprise rate hike in July 23.
The impact became noticeable one to two months after the rate hike, according to the firm.
