Revealed: The suburbs where pre-approved mortgage applications are rising – realestate.com.au

Australia’s property market has officially reached fever pitch, with desperate homebuyers throwing caution to the wind and removing crucial terms and conditions from their offers in an attempt to secure a home.

Alarming new data from Loan Market Group shows that mortgage pre-approvals across the country have soared to unprecedented levels, creating a cutthroat environment in which buyers are making unconditional offers and exposing themselves to enormous financial risk.

The data shows an astonishing increase in pre-approvals, with Melbourne’s eastern suburbs Ringwood leading the way, rising by an astonishing 500 percent when comparing the third quarter of 2025 to the same period last year.

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Fortitude Valley in Brisbane recorded the second highest jump nationally, with a rise of a whopping 373 per cent, while Surfers Paradise on the Gold Coast claimed third place with a rise of 330 per cent.

Box Hill in Melbourne also saw a significant 267 percent increase in pre-approvals, and Hurstville in Sydney rounded out the top five with a 220 percent increase.

The increase is widespread, with Adelaide’s Modbury seeing a 160 per cent increase, Darwin seeing a 171 per cent increase and Hobart’s Park Grove recording a 71 per cent increase.

VICTORIA’S TOP 1O PRE-APPROVAL SUBURBS

VIC. Source: Credit Market Group

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QUEENSLAND’S TOP 1O PRE-APPROVAL SUBURBS

QLD. Source: Credit Market Group

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This unprecedented demand is largely attributed to a powerful cocktail of rising property values, significant interest rate cuts by the Reserve Bank of Australia – a substantial 75 basis points this year – and the Australian government’s 5 percent deposit program for first home buyers, which launched this month.

Loan Market CEO David McQueen said these elements had boosted the market, overwhelming banks and lenders with a flood of eager buyers.

“There is a clear shift in sentiment and competition, with more people attending open houses and more properties being sold under the hammer at auction,” he said.

“Since July, Loan Market has recorded an increase in the number of people contacting real estate agents, seeking pre-approval before starting their property hunt – looking for that crucial edge in a competitive market.

“In some markets, the number of people with pre-approval has more than doubled year over year. Knowing exactly how much you can borrow and repay can help you identify the suburbs within your price range and decide with confidence whether that extra bedroom or bathroom is within your budget.

“As our data has shown, pre-approvals are being obtained from the inner city to the suburbs, underscoring the increasing interest in many markets.”

NEW SOUTH WALES” TOP 1O PRE-APPROVAL SUBURBS

NSW: Source: Lending Market Group

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SOUTH AUSTRALIA’S TOP 1O PRE-APPROVAL SUBURBS

SA. Source: Credit Market Group

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Ivan Dennis, head of analytics at Loan Market Group, expressed his surprise at the diverse range of suburbs on the list.

“I was surprised by some of the suburbs on the list,” Dennis said.

“Some are high value, while others are on the edge or remote. In Victoria, for example, there are inner cities and also edge suburbs, both experiencing growth. Each state seems to have a different pattern.”