Westpac Q3 cash profit rises to A$1.8 billion as mortgage demand cools
What's new: The bank said monthly mortgage applications fell 20% after budget changes and sees housing credit growth slowing to 4.7% in 2027.
Westpac posted third-quarter cash earnings of A$1.8 billion for the period ended June 30, up 2% from the first-half quarterly average, as lending and deposits expanded across its Australian business. But the lender warned that housing demand is weakening after federal budget changes. Average monthly mortgage applications dropped 20% between mid-May and the end of July to 26,000 from the quarter ended March 31. Westpac said housing credit growth is likely to slow to 4.7% in 2027 from 6.8% in 2026, citing higher interest rates and policy shifts. The bank said households remain under pressure from living costs, while its common equity tier 1 ratio stood at 12.1%.