Despite speculation that the great Australian dream of home ownership was slipping from the hands of young Australians, many young first-time home buyers are grabbing their opportunity and buying what they can afford.
Home buying experts, therefore, believe that concerns over younger Australians being locked out of the housing market due to housing not being affordable is misguided. Instead of the dream of Australian home ownership fading away, young Australians are becoming creative and making their financial bedding softer, so that they can sleep better at night and pay-off their homes faster.
Younger Australians wishing to break into the property market are looking at affordable investment property, especially while interest rates are low. In fact, many are buying homes in need of tender loving care in suburbs that are affordable, and they are then making improvements to these homes, which, in turn is enabling them to build equity and to increase the capital value of their property. This strategy, over time, will then enable these homebuyers to upgrade to better property, at a later date.
In addition, affordable buying reduces the overheads and financial pressure for young home buyers. This means that they then have greater financial freedom and cash flow, with many opting to then pay more off their homes faster.
Housing experts also believe that statistical data on first-home buyer numbers may not be entirely accurate. This is due to the data being based on first home buyer’s who were accepted for the Government First Home Buyer Grant.
The problem with this statistical data is not all first-home buyers are eligible to receive the government grant because they fail to meet all of the criteria. For instance, age, citizenship status and the value of a home can dictate to first-home buyer grant eligibility.
Do you want to know more about first home buying? If so, then contact eChoice and find the right home loan for YOU today.