Lender policies might not be the only thing that’s fluctuating in the mortgage industry. According to CoreLogic, property prices slowed down in April to 2.2% in Sydney and 1.3% in Melbourne.
However, April may not be the best month to start predicting the slowdown of the housing market boom.
“This isn’t to say housing values are about to reverse; a more likely scenario is the market is moving through a peak rate of growth and the pace of capital gains will gradually taper over coming months,” says Tim Lawless, research director at CoreLogic.
This means that the figures show in May and June might be a better reflection of the market conditions.
6000+ first home buyers in Vic were above 40!
It looks like the market boom hasn’t stopped first home buyers from getting into the property market even in their 40s.
New figures from the State Revenue Office of Victoria show 6,491 first home buyers over 40 have bought in Victoria in the last two years.
The figure includes 1,233 first home buyers in their 50s and 348 buyers in their 60s.
Some banks allow mature age borrowers to borrow even if they’re over 50 years old.
Only 3,237 first home buyers above 40 bought in Victoria during the same period two years ago, which means the figure has doubled!
The market conditions which had kept some borrowers away from buying in previous years have improved.
Thanks to government schemes and grants such as the First Home Owners Grant (FHOG) and First Home Loan Deposit Scheme (FHLDS), first home buyers were still active even during the peak of the pandemic.
Plus, people were able to save for a deposit during the pandemic, which has put them in a better position to buy now.
Get into the property market before prices rise higher!
You’re never too old to buy your first home, as evident from the data of Victoria.
Even though property prices have slowed down, major banks have predicted that property prices could rise as much as 17% this year.
You might want to act now and get a pre-approval!
Our mortgage brokers are aware of the current market conditions and can give you personalised advice for your situation.
Call us on 1300 889 743 or fill in our free assessment form to discuss your situation with one of our mortgage brokers.