The number of first home buyer commitments also increased by 14%, the highest since December 2009.
In New South Wales the increases in owner occupied housing commitments increased by 1.3%, showing how much tougher it is locally compared to the rest of Australia.
However, it is a good sign overall, and of the 1,526 increase in loans in August, 1,264 were to first home buyers which is a big indication that they are returning to the market.