No September FHB rush - AFG
By BN
|
08 Oct 2009
Despite first home buyer grants being reduced at the end of last month, there was no last minute rush by first home buyers to buy property in September according to AFG.
The latest AFG Mortgage Index revealed that loans to first home buyers fell slightly from 20.9% in August to 20.0% of all new mortgages arranged in September - a figure in line with the previous three month's sales, and well below the peak of 28.1% recorded for first home buyers in March 2009.
Mark Hewitt, GM of Sales and Operations said: 'There was a lot of anticipation about a surge of first home buying activity in September - but this never materialised. It suggests that most of the demand had already been pulled forward as a result of speculation prior to the federal budget that the increased grants would not continue.'
The average mortgage rose to $360,000 for the first time ever in September, above the previous high of $354,000 recorded in July by AFG.
And it also revealed an increasing appetite from investors with an upturn in investment loans from 27.1% in August to 29.8% in September.
Related stories:
Brokers report record volumes - A wave of positive buyer sentiment is expected to push brokers' September quarter settlement figures to record highs
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