Property investments have been on the rise for the past several years. It is high time that people invest in property as the nation is experiencing low interest rates for home loans at 2.5%. But with the low interest rates and surging demand for property, where are the First Home buyers?
Data from the Bureau of Statistics show that there is a drastic decrease of First Home buyers, dropping by 22% from last year. First Home buyers now only comprise 13.7% in the property market share. The biggest reason for this drop is housing affordability. With the strong demand for property, First Home buyers are sizing up the market as property values have increased by 1.3% just this month, with an annual increase of 7.9%. Sydney leads in property values with a high 9.1%.
Although there is a decrease in First Home buyers in the market, this should not be a cause for concern as there is still strong demand from Property Investors. Capital cities are also on a roll as auctions close with record clearance rates, showing strong demand for these types of investments.
Read more about this on the Sydney Morning Herald website.