First home buyers flock back into market
Jul 18th 2005, 1:54 am
#1
Guest
Posts: n/a
First home buyers flock back into market
This article is mainly about the property market in Victoria.
http://theage.com.au/news/national/f...538869051.html
[QUOTE]First home buyers are coming back - and fast. As the house price bubble slowly deflates, the number taking out loans for first homes in Victoria has grown by more than half so far this year.
Lending data from the Australian Bureau of Statistics last week shows that nationally 2000 to 2500 more first home buyers each month are taking out loans compared with a year earlier, as they replace investors in the market.
Victoria has accounted for almost half the rise. In the first five months of last year, just 8013 first home buyers took out loans in the state. In the same months this year, that number jumped 53 per cent to 12,271, as homes became more affordable.
<.....>
Monitoring by AMP and the Real Estate Institute of Australia shows the long decline in home loan affordability has now flattened out nationally, and is trending back up in Victoria and NSW.
It estimates that the median home price fell 5.2 per cent in Melbourne over the year to March, while the median family income of Victorians rose 5.6 per cent.
And it is particularly good for first home buyers, who were the ones pushed out. So far this year, lending to first home buyers has shot up 40 per cent to almost $9 billion, accounting for half the growth in all lending to owner-occupiers.
This in turn has stabilised the market. Mr Raimondo says preliminary figures suggest that Melbourne prices rebounded in the June quarter after falling in March, above all in outer suburbs such as the Werribee and Dandenong/Pakenham growth corridors, where the Melbourne 2030 policy will limit future land releases.
http://theage.com.au/news/national/f...538869051.html
[QUOTE]First home buyers are coming back - and fast. As the house price bubble slowly deflates, the number taking out loans for first homes in Victoria has grown by more than half so far this year.
Lending data from the Australian Bureau of Statistics last week shows that nationally 2000 to 2500 more first home buyers each month are taking out loans compared with a year earlier, as they replace investors in the market.
Victoria has accounted for almost half the rise. In the first five months of last year, just 8013 first home buyers took out loans in the state. In the same months this year, that number jumped 53 per cent to 12,271, as homes became more affordable.
<.....>
Monitoring by AMP and the Real Estate Institute of Australia shows the long decline in home loan affordability has now flattened out nationally, and is trending back up in Victoria and NSW.
It estimates that the median home price fell 5.2 per cent in Melbourne over the year to March, while the median family income of Victorians rose 5.6 per cent.
And it is particularly good for first home buyers, who were the ones pushed out. So far this year, lending to first home buyers has shot up 40 per cent to almost $9 billion, accounting for half the growth in all lending to owner-occupiers.
This in turn has stabilised the market. Mr Raimondo says preliminary figures suggest that Melbourne prices rebounded in the June quarter after falling in March, above all in outer suburbs such as the Werribee and Dandenong/Pakenham growth corridors, where the Melbourne 2030 policy will limit future land releases.
Jul 18th 2005, 2:44 am
#2
BE Forum Addict
Joined: Aug 2003
Location: Near Duloc
Posts: 4,638
Re: First home buyers flock back into market
Hi ABC
Speaking to an agent on Saturday, he reckons that here in Perth there has been a sudden increase in first time property buying at the lower end (under 250,000) since many buyers were holding on waiting for stamp duty to be abolished for under 250, which has happened. Suddenly we noticed cheaper properties going like hot cakes.
atb
Larissa
[QUOTE=ABCDiamond]This article is mainly about the property market in Victoria.
http://theage.com.au/news/national/f...538869051.html
Speaking to an agent on Saturday, he reckons that here in Perth there has been a sudden increase in first time property buying at the lower end (under 250,000) since many buyers were holding on waiting for stamp duty to be abolished for under 250, which has happened. Suddenly we noticed cheaper properties going like hot cakes.
atb
Larissa
[QUOTE=ABCDiamond]This article is mainly about the property market in Victoria.
http://theage.com.au/news/national/f...538869051.html
First home buyers are coming back - and fast. As the house price bubble slowly deflates, the number taking out loans for first homes in Victoria has grown by more than half so far this year.
Lending data from the Australian Bureau of Statistics last week shows that nationally 2000 to 2500 more first home buyers each month are taking out loans compared with a year earlier, as they replace investors in the market.
Victoria has accounted for almost half the rise. In the first five months of last year, just 8013 first home buyers took out loans in the state. In the same months this year, that number jumped 53 per cent to 12,271, as homes became more affordable.
<.....>
Monitoring by AMP and the Real Estate Institute of Australia shows the long decline in home loan affordability has now flattened out nationally, and is trending back up in Victoria and NSW.
It estimates that the median home price fell 5.2 per cent in Melbourne over the year to March, while the median family income of Victorians rose 5.6 per cent.
And it is particularly good for first home buyers, who were the ones pushed out. So far this year, lending to first home buyers has shot up 40 per cent to almost $9 billion, accounting for half the growth in all lending to owner-occupiers.
This in turn has stabilised the market. Mr Raimondo says preliminary figures suggest that Melbourne prices rebounded in the June quarter after falling in March, above all in outer suburbs such as the Werribee and Dandenong/Pakenham growth corridors, where the Melbourne 2030 policy will limit future land releases.
Lending data from the Australian Bureau of Statistics last week shows that nationally 2000 to 2500 more first home buyers each month are taking out loans compared with a year earlier, as they replace investors in the market.
Victoria has accounted for almost half the rise. In the first five months of last year, just 8013 first home buyers took out loans in the state. In the same months this year, that number jumped 53 per cent to 12,271, as homes became more affordable.
<.....>
Monitoring by AMP and the Real Estate Institute of Australia shows the long decline in home loan affordability has now flattened out nationally, and is trending back up in Victoria and NSW.
It estimates that the median home price fell 5.2 per cent in Melbourne over the year to March, while the median family income of Victorians rose 5.6 per cent.
And it is particularly good for first home buyers, who were the ones pushed out. So far this year, lending to first home buyers has shot up 40 per cent to almost $9 billion, accounting for half the growth in all lending to owner-occupiers.
This in turn has stabilised the market. Mr Raimondo says preliminary figures suggest that Melbourne prices rebounded in the June quarter after falling in March, above all in outer suburbs such as the Werribee and Dandenong/Pakenham growth corridors, where the Melbourne 2030 policy will limit future land releases.
Jul 18th 2005, 2:53 am
#3
Joined: Feb 2004
Posts: 1,277
Re: First home buyers flock back into market
[QUOTE=ABCDiamond]This article is mainly about the property market in Victoria.
http://theage.com.au/news/national/f...538869051.html
The $5k (FTB grant) from the VIC govt was supposed to end in June this year but they have extended it (for another year - I think). This has probably helped along with the 5% price drop since last year.
A
http://theage.com.au/news/national/f...538869051.html
First home buyers are coming back - and fast. As the house price bubble slowly deflates, the number taking out loans for first homes in Victoria has grown by more than half so far this year.
Lending data from the Australian Bureau of Statistics last week shows that nationally 2000 to 2500 more first home buyers each month are taking out loans compared with a year earlier, as they replace investors in the market.
Victoria has accounted for almost half the rise. In the first five months of last year, just 8013 first home buyers took out loans in the state. In the same months this year, that number jumped 53 per cent to 12,271, as homes became more affordable.
<.....>
Monitoring by AMP and the Real Estate Institute of Australia shows the long decline in home loan affordability has now flattened out nationally, and is trending back up in Victoria and NSW.
It estimates that the median home price fell 5.2 per cent in Melbourne over the year to March, while the median family income of Victorians rose 5.6 per cent.
And it is particularly good for first home buyers, who were the ones pushed out. So far this year, lending to first home buyers has shot up 40 per cent to almost $9 billion, accounting for half the growth in all lending to owner-occupiers.
This in turn has stabilised the market. Mr Raimondo says preliminary figures suggest that Melbourne prices rebounded in the June quarter after falling in March, above all in outer suburbs such as the Werribee and Dandenong/Pakenham growth corridors, where the Melbourne 2030 policy will limit future land releases.
Lending data from the Australian Bureau of Statistics last week shows that nationally 2000 to 2500 more first home buyers each month are taking out loans compared with a year earlier, as they replace investors in the market.
Victoria has accounted for almost half the rise. In the first five months of last year, just 8013 first home buyers took out loans in the state. In the same months this year, that number jumped 53 per cent to 12,271, as homes became more affordable.
<.....>
Monitoring by AMP and the Real Estate Institute of Australia shows the long decline in home loan affordability has now flattened out nationally, and is trending back up in Victoria and NSW.
It estimates that the median home price fell 5.2 per cent in Melbourne over the year to March, while the median family income of Victorians rose 5.6 per cent.
And it is particularly good for first home buyers, who were the ones pushed out. So far this year, lending to first home buyers has shot up 40 per cent to almost $9 billion, accounting for half the growth in all lending to owner-occupiers.
This in turn has stabilised the market. Mr Raimondo says preliminary figures suggest that Melbourne prices rebounded in the June quarter after falling in March, above all in outer suburbs such as the Werribee and Dandenong/Pakenham growth corridors, where the Melbourne 2030 policy will limit future land releases.
A
Jul 18th 2005, 4:12 am
#4
BE Enthusiast
Joined: Jan 2004
Location: Hillarys, WA
Posts: 334
Re: First home buyers flock back into market
More attempts to control buyer sentiment via the corrupt advertising induced media then! Come on in first time buyers the waters lovely, while we offload our investments..
2000 new households being created nationally is hardly a flock methinks...
Lending data from the Australian Bureau of Statistics last week shows that nationally 2000 to 2500 more first home buyers each month are taking out loans compared with a year earlier, as they replace investors in the market.
Perhaps the real reason for this article!!
Ms McNaughton predicted that investors would continue to bale out in search of more attractive investment options. "This is good news for owner-occupiers, who were previously pushed out of the market as investors drove house prices into overvalued territory," she said.
[QUOTE=ABCDiamond]This article is mainly about the property market in Victoria.
http://theage.com.au/news/national/f...538869051.html
2000 new households being created nationally is hardly a flock methinks...
Lending data from the Australian Bureau of Statistics last week shows that nationally 2000 to 2500 more first home buyers each month are taking out loans compared with a year earlier, as they replace investors in the market.
Perhaps the real reason for this article!!
Ms McNaughton predicted that investors would continue to bale out in search of more attractive investment options. "This is good news for owner-occupiers, who were previously pushed out of the market as investors drove house prices into overvalued territory," she said.
[QUOTE=ABCDiamond]This article is mainly about the property market in Victoria.
http://theage.com.au/news/national/f...538869051.html
First home buyers are coming back - and fast. As the house price bubble slowly deflates, the number taking out loans for first homes in Victoria has grown by more than half so far this year.
Lending data from the Australian Bureau of Statistics last week shows that nationally 2000 to 2500 more first home buyers each month are taking out loans compared with a year earlier, as they replace investors in the market.
Victoria has accounted for almost half the rise. In the first five months of last year, just 8013 first home buyers took out loans in the state. In the same months this year, that number jumped 53 per cent to 12,271, as homes became more affordable.
<.....>
Monitoring by AMP and the Real Estate Institute of Australia shows the long decline in home loan affordability has now flattened out nationally, and is trending back up in Victoria and NSW.
It estimates that the median home price fell 5.2 per cent in Melbourne over the year to March, while the median family income of Victorians rose 5.6 per cent.
And it is particularly good for first home buyers, who were the ones pushed out. So far this year, lending to first home buyers has shot up 40 per cent to almost $9 billion, accounting for half the growth in all lending to owner-occupiers.
This in turn has stabilised the market. Mr Raimondo says preliminary figures suggest that Melbourne prices rebounded in the June quarter after falling in March, above all in outer suburbs such as the Werribee and Dandenong/Pakenham growth corridors, where the Melbourne 2030 policy will limit future land releases.
Lending data from the Australian Bureau of Statistics last week shows that nationally 2000 to 2500 more first home buyers each month are taking out loans compared with a year earlier, as they replace investors in the market.
Victoria has accounted for almost half the rise. In the first five months of last year, just 8013 first home buyers took out loans in the state. In the same months this year, that number jumped 53 per cent to 12,271, as homes became more affordable.
<.....>
Monitoring by AMP and the Real Estate Institute of Australia shows the long decline in home loan affordability has now flattened out nationally, and is trending back up in Victoria and NSW.
It estimates that the median home price fell 5.2 per cent in Melbourne over the year to March, while the median family income of Victorians rose 5.6 per cent.
And it is particularly good for first home buyers, who were the ones pushed out. So far this year, lending to first home buyers has shot up 40 per cent to almost $9 billion, accounting for half the growth in all lending to owner-occupiers.
This in turn has stabilised the market. Mr Raimondo says preliminary figures suggest that Melbourne prices rebounded in the June quarter after falling in March, above all in outer suburbs such as the Werribee and Dandenong/Pakenham growth corridors, where the Melbourne 2030 policy will limit future land releases.
Jul 18th 2005, 5:45 am
#5
Forum Regular
Joined: Jan 2005
Location: Brisbane Bayside
Posts: 96
Re: First home buyers flock back into market
Now if you want a more cynical point of view on the Oz housing market visit this forum:
http://www.cracker.com.au/threads.aspx?categoryid=11061
Based on biased insights I've found on this forum, I'd say that a falling house market isn't linear and that you may see a few dummy rises before you hit bottom. My gut feel is that this is way to short for housing market cycle.
One hypothesis that caught my eye on Cracker was that when people feel that an certain future is ahead and unemployment / retrenchment is ahead people will try to get a mortgage "while they still can", even though thats not the rational way to go.
All I can say is that for the time being I'm keeping my money in gold bullion and crude oil stacked in my shed, and no I won't tell you which part of Kangaroo Point I live.
Papa Z
http://www.cracker.com.au/threads.aspx?categoryid=11061
Based on biased insights I've found on this forum, I'd say that a falling house market isn't linear and that you may see a few dummy rises before you hit bottom. My gut feel is that this is way to short for housing market cycle.
One hypothesis that caught my eye on Cracker was that when people feel that an certain future is ahead and unemployment / retrenchment is ahead people will try to get a mortgage "while they still can", even though thats not the rational way to go.
All I can say is that for the time being I'm keeping my money in gold bullion and crude oil stacked in my shed, and no I won't tell you which part of Kangaroo Point I live.
Papa Z
Jul 18th 2005, 5:50 am
#6
Forum Regular
Joined: Jun 2004
Posts: 95
Re: First home buyers flock back into market
agreed. Market will further go down before the next rise
Jul 18th 2005, 6:19 am
#7
BE Enthusiast
Joined: Jan 2004
Location: Hillarys, WA
Posts: 334
Re: First home buyers flock back into market
Yep, dead cat bounce at the moment. http://www.investopedia.com/terms/d/deadcatbounce.asp
How long before it reaches WA?
How long before it reaches WA?
Originally Posted by nfernand
agreed. Market will further go down before the next rise
Jul 18th 2005, 7:55 am
#8
Forum Regular
Joined: Feb 2004
Location: The Premier State
Posts: 42
Re: First home buyers flock back into market
Sydney (hopefully) is still in decline. Auction clear up rate is in the low 40%'s and chatting to an agent at the weekend he thinks prices will drop another 1-2%, (so read 5% into that). Having watched property ads for 2 or 3 months not a lot seems to be moving especially in the +$700000 bracket, lots of places been for sale for for +3 / 4 months. Even the lower end seems quiet scanning through the results. So overall I would say that there is a bit of propaganda coming out to try and boost the market...........cynical, moi?!!
Jul 18th 2005, 9:19 am
#9
Guest
Posts: n/a
Re: First home buyers flock back into market
Originally Posted by SnapOff
Sydney (hopefully) is still in decline. Auction clear up rate is in the low 40%'s and chatting to an agent at the weekend he thinks prices will drop another 1-2%, (so read 5% into that). Having watched property ads for 2 or 3 months not a lot seems to be moving especially in the +$700000 bracket, lots of places been for sale for for +3 / 4 months. Even the lower end seems quiet scanning through the results. So overall I would say that there is a bit of propaganda coming out to try and boost the market...........cynical, moi?!!
Victoria is the area that seems to have changed, (according to that article), with that State accounting for almost half of the nationwide number of extra First Home buyers entering the market. The other States are all very quiet. And even then, the numbers are not overly high for Victoria.
Maybe the Victoria buyers are feeling that as Victoria was the first State to boom, and then the first State for the prices to drop........ just maybe they feel it will be the first State to rise again ?
