The head of major mortgage franchise, Mortgage Choice has backed recommendations to allow first home buyers to access their superannuation to purchase property.
Chief executive John Flavell
says any measures to address housing affordability and home ownership should be applauded.
“At Mortgage Choice, we agree that first home buyers should be able to access their super in order to fund their first home purchase.
“The reality is, it is becoming harder for first home buyers to purchase property, especially in some of the capital cities where property values are rising at a significant rate. As such, any measures that seek to help first home buyers get their foot onto the property ladder sooner rather than later should be applauded.”
Flavell’s comments come after a new economic report
published by the Committee for Economic Development of Australia (CEDA) argues that allowing first home buyers to access their superannuation to purchase owner-occupied housing will ease the impact of sustained housing affordability issues which are a significant issue for retirement policy.
“We have long supported the idea of allowing first home buyers to use their super as a way to fund their first home purchase. Super helps Australians get financially ready for retirement, so why shouldn't we allow first home buyers to use their super to buy an asset that will make them money and ultimately help them in retirement?
“Older Australians are allowed to use their super to invest in property, so shouldn't younger Australians, particularly first home buyers be able to do the same?
“Furthermore, first home buyers, particularly those trying to buy in the metro areas often don't qualify for other assistance or government help when buying property. As such, they have to do it on their own. If they are able to access their super, which is their money anyway, they would be able to raise a deposit faster and get onto the property ladder sooner.”