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Only one in 50 NSW borrowers are first home buyers

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Australian Broker | 04 Dec 2014, 05:54 AM Agree 0
Fewer than one in 50 new borrowers in New South Wales are first home buyers, according to data from one of the largest mortgage aggregators
  • Brado | 04 Dec 2014, 09:08 AM Agree 0
    These figures are purely based on people applying for the FHOG. I do heaps of loans for first home buyers buying established properties and therefore getting no grant. Doesn't mean they aren't buying, they just aren't buying new...
  • Awesome - Albert | 04 Dec 2014, 09:39 AM Agree 0
    Great point Brado..but are they buying established because they want to or because that is all they can afford? We need more help with new properties for first time buyers to help increase the supply of new properties.
  • Tim | 04 Dec 2014, 12:04 PM Agree 0
    Albert I recently had to drive from my home on the northern beaches of Sydney to Smithfield in the south west and was blown away by the amount of residential unit construction I saw going on along the way.
    There are plenty of properties being built and like Brado I am seeing many first home buyers either buying established units or buying for investment and thus not getting the FHOG.
    The other issue is around the attitudes towards saving a deposit. There is so much media hype around "it is too hard to save a deposit" when the truth is there are young people out there doing just that.
    Rather than push for more cash handouts I would prefer to see a push for more incentives for good saving habits. Scrapping the "First Home Saver Account" scheme was a poor decision for example.
    I was recently chatting with a 32 year old single female who had been renting for 12 years and had savings of less than $5,000. I asked her would she have missed $100 per week from her wages and she said no probably not. When I told her this would have amounted to over $60,000 she was very surprised and she acknowledged that her attitude was one of spend not save. She also said a lot of her friends have a similar attitude to her....
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